Competition is one of the fundamental drivers of innovation in dynamic sectors such as the high tech industry. Competition norms are quintessential to ensure that dynamic competition governs the high tech sector, so that market positions are not entrenched and companies continue to innovate. Hence, consumers can benefit from the innovations that such competition brings about. To this end, regulators must be sure abide by the bedrock principle of antitrust law: consumer, not competitor, welfare is paramount.

CCIA’s View:

To ensure that tech-related innovation continues to play a positive role in the global economy, sound competition policy and antitrust enforcement both must play a crucial role in ensuring that competition exists across markets.The Internet is characterized by extremely low barriers to entry and vibrant competition among market participants. Furthermore, many companies operating on the Internet are so-called multi-sided business models.

CCIA believes in smart, well-targeted antitrust enforcement that recognizes different market realities supported by sound economic analysis. As such, regulators must be cognizant of choke points where market characteristics lead to competition problems. Given the vast differences in technology markets, CCIA’s positions on antitrust cases are not ideological but case specific and fact driven.

CCIA encourages competition authorities to continue to endeavor resources to understand the market dynamics that govern the Internet to ensure that enforcement actions tackle anticompetitive behavior that undermine innovation and consumer welfare. Similarly, CCIA intervenes, on a case by case basis, in those processes aimed at clarifying the antitrust norms applicable for companies operating on the Internet, providing the Industries’ viewpoints to the benefit of consumers.

Most Recent Statements:

CCIA Statement on Microsoft Yahoo Search Deal

Microsoft and Yahoo have announced a ten year Internet search deal today. The agreement means Microsoft’s Bing search engine will power the searches on Yahoo’s websites. The following statement can be attributed to Computer & Communications Industry Association President & CEO Ed Black: “The fact that this deal preserves Yahoo as an independent company is…

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Changed Antitrust Rules Could Curb Tech Mergers

A shift in U.S. Department of Justice antitrust policy announced last week could blunt the expansion or merger plans of IT vendors, according to legal experts. In speeches last week before the Center for American Progress and the U.S. Chamber of Commerce, Christine Varney, assistant attorney general in charge of the DOJ’s antitrust division, said…

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An Open Letter from Our CEO: Three Strikes; Now What?

Today, CCIA ran an open letter in several Washington, DC publications highlighting yesterday’s ruling by the European Commission, which found Intel guilty of abusing its monopoly position. After years of investigating, the Commission ruled that Intel’s actions significantly harmed competition and innovation, ordered it to cease its abusive practices and issued a $1.45 billion fine.…

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