Big Four - Grilled for ‘Antitrust’

Facebook, Amazon, Google & Apple face tough questions! Take away for India!

I am sure you heard, watched or read about the grilling testimony of the Big Four, namely, Google, Facebook, Apple and Amazon in ‘Antitrust’ issues on 29

I will just put forward few excerpts for your reference and links of the sources:

Amazon, meanwhile, faced withering scrutiny over allegations it may have misled the committee. The e-commerce giant previously told lawmakers it 

“What I can tell you is we have a policy against using seller-specific data to aid our private label business,” he said. “But I can’t guarantee you that policy has never been violated.”

Despite scattered outbursts of political theater, the hearing could carry immense weight at a time when Amazon, Apple, Facebook and Google have lost support among both political parties — while also facing a slew of investigations around the world. In the United States, the Department of Justice may file an antitrust lawsuit against Google as soon as this summer, 

Cicilline specifically charged Google had “stolen content to build your own business,” citing its practice of culling and displaying information at the top of users’ search results.

In the case of Yelp, though, Cicilline questioned Google’s motives, stressing the search giant had stolen its restaurant reviews and threatened to “delist” the site when it complained. Cicilline also accused Google of monitoring web traffic to “identify competitive threats.”

Source:  

Other Links:

https://www.nytimes.com/2020/07/28/technology/amazon-apple-facebook-google-antitrust-hearing.html

https://www.economist.com/united-states/2020/07/28/alphabet-amazon-apple-and-facebook-face-an-antitrust-grilling

In a nutshell, the powerful technology companies were accused of stealing data, bias against other sellers Vs their own brands/sellers, copying other apps to suit their needs, buying into market dominating players to create monopolies, selling counterfeit and stolen good on their platform, among various other allegations. If you watch the proceedings, they will seem true with the tech honchos have limited answers with Jeff Bezos totally seeming disoriented!

But the significant part to understand came at the end with the Chairman of the Committee, Mr Cicilline saying: “the investigation has made one fact clear to me; these companies existing have monopoly power. Some need to be broken up or need to be properly regulated and held accountable. We need to ensure that antirust policy first word written a century ago work in the digital age. When these laws were written, monopolists were Rockefeller which controlled the market place and allowed them to do whatever to crush independent businesses and stand around power. The names have changed, the stories are same. Today the name are Zuckerberg, Cook, Pichai and Bezos.  Once again their control of the market allows them to do whatever it takes to crush the independent business and expand their own power. THIS MUST END! This Subcommittee will next publish a report, findings of our investigation and propose solutions to problem before us. A great American Supreme Court Justice once said, “We must make our choice, we may have Democracy or we may have wealth concentrated in the hands of few, but we can’t have both.”

The above arguments tell us that now the United States have started noticing the incredible power of monopolies and the jobs they are costing causing widespread distress. ‘Retail Apocalypse’ is a reality that has happened in the United States causing thousands of stores to close down costing millions of jobs and turn malls into ghost buildings. We are bracing for that in India!

Let’s do an exercise in our city. Let’s go to shop at Brick & Mortar stores, our usual markets we used to throng (with face mask and social distancing of course). It will be disheartening to see how shop owners will ask you to come in their shops and buy something. Their employees will look at you in anticipation that you will buy something so they will get their salaries. THIS IS REALITY!

We have to ask our Government:

• Isn't India going the same way creating monopolies?
• Are we not supporting the Big Four's Monopolistic practices while creating another like Reliance?
• Do they think concentration of wealth is good for a country?
• The present E-Commerce is taking lakhs of jobs everyday and we can't do anything about it?
• Amazon, Walmart, Venture Capital firms are bringing in millions of dollars not to create any infrastructure except few fulfillment centers, but to kill our small businesses.I
• Infrastructure is essential in manufacturing; our retail was always very strong.
• Small businesses are extremely essential to ensure monopoly does not exist and is our Government determined to kill them to benefit a few?
• Our Government seems to be against small businesses and favor the corporate. Do you think that corporate is best for our country?
• The US had 25% small businesses and India has 90%, do they understand the impact it will cause in our country?
• Should we commit the same mistakes the West has by blindly supporting these companies?
• Under the garb of technology, these companies are indulging in world domination and are we so blind to support it, hampering our own growth and kill our people.
• They say to help small businesses, artisans etc but that is just a lie. Why can't our Government ask them for this data?
• When our PM talk so fondly about technology, does he believe it has answers to all problems without creating a bigger problem?
• What is the pressure that our Government cannot control them and work for our countrymen and women?
• FDI is only a fraction of the losses they are incurring in our country.
• World’s biggest companies are accused of stealing data. You think they are not doing it in India? 
• Are we, the consumers so dependent on E-Commerce because of convenience and discounts that we will not support our small businesses?
• Do we realize that if our neighbor is getting killed, we are next!

The MONOPLOIES only work for A FEW! Rest will be left to flounder!