FTC investigates Amazon’s MGM acquisition: report

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The U.S. Federal Trade Commission is $8.5 billion bid obtain MGM Studio, information Reported on Friday.

FTC, newly led by Amazon critics Lina KhanTwo people familiar with the matter told the media that the company will focus its investigation on “the greater impact of this transaction on Amazon’s market power.” According to these sources, the agency is concerned that the merger will “Illegally improve Amazon’s ability to provide a variety of goods and services, not just content production and distribution. “

in may, Amazon announced it achieved The purchase of MGM, as well as the rights to buy traditional film studio movies And TV library. Nearly USD 8.45 Billion, yes This is one of Amazon’s largest acquisitions to date, second only to the $13.7 billion acquisition of Whole Foods in 2017.

Of course, gAmazon’s Track record of Antitrust litigation and complaints, Federal review seems inevitable.This The Wall Street Journal confirmed these rumors June 22, The report says FTC Investigation of the merger In progress.soon After that, Senator Elizabeth Warren of Massachusetts visit The U.S. Federal Trade Commission thoroughly reviews potential “anti-competitive Impact” this transaction may have an impact on the entertainment industry and Amazon’s existing Shackles to other markets, she wrote In a letter to Khan edge.

This The investigation will be the latest initiative at the federal level Break up some of the largest companies in the United States. Earlier on Friday, President Joe Biden signed an extensive Executive order Designed to promote competition in the U.S. economy-especially in Silicon ValleyIt Urge FCC to re-evaluate Net Neutrality Standard Anti-competition for broadband companies and rollbacks Forced consumer restrictions Depend on manufacturer Repair their gadgets.Campaign against large tech companies Also have With the support of both parties in Congress, the recently launched newAntitrust legislation intend Limit their power and increase market competition.


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