Post by account_disabled on Mar 11, 2024 7:56:23 GMT
Google investors don't want the company to break up, which is why they recommended breaking up before regulators demand it.
The US-based SumOfUs group is seeking to restrict the growing influence of multinationals, which is why it will make the proposal at Alphabet Inc's annual shareholder meeting held at the company's headquarters in Sunnyvale, California.
“The authorities of the United States France Mobile Number List and the European Union will continue to be concerned about the power that Alphabet has in the market, taking into account the restrictions on monopolies ,” the proposal indicates.
“We believe that shareholders could receive a greater benefit from a voluntary strategic reduction in the size of the company than from asset sales ordered by regulators,” he added.
According to data from some international media, the proposal has no realistic chance of success, since Alphabet's two senior executives, Larry Page and Sergey Brin, have 51.3% of the shareholders' votes.
However, it shows that there is a growing focus on the prospect of antitrust actions against Alphabet and other big technology firms, such as Facebook Inc and Amazon.com Inc, as they face criticism from politicians and the public over privacy issues and excessive influence in the world of information.
The president of the United States, Donald Trump, has criticized Google several times, stating, without evidence, that its search engine often returns results that are unfavorable to him.
Division
According to Noah Feldman, for Bloomberg, under current antitrust law, large technology companies will not be broken up. However, if regulators and courts decide to reimagine antitrust law, the risk of division grows precipitously.
To understand the distinction, one must keep in mind that antitrust law, as interpreted by the courts today, does not prohibit being a monopoly.
The Federal Trade Commission's website says that "it is not illegal for a company to have a monopoly, to charge 'high prices', or to attempt to achieve a monopoly position through aggressive methods."
Companies can legally take advantage of a monopoly position as long as they do not engage in what the law calls “anticompetitive behavior.”
These behaviors include setting prices artificially low on products to drive out competition and then raising them; forcing exclusive supply agreements or partnerships; or join together two or more products for sale in order to obtain an unfair advantage over a competitor's product.
In practice, therefore, government regulators have to look at monopolistic behaviors and decipher whether they are actually causing real-world economic harm.
Monopoly
A couple of years ago, the European Commission imposed a fine of 2.42 billion euros on the technology giant for abuse of a dominant position with its price comparison service for products such as Google Shopping.
The US-based SumOfUs group is seeking to restrict the growing influence of multinationals, which is why it will make the proposal at Alphabet Inc's annual shareholder meeting held at the company's headquarters in Sunnyvale, California.
“The authorities of the United States France Mobile Number List and the European Union will continue to be concerned about the power that Alphabet has in the market, taking into account the restrictions on monopolies ,” the proposal indicates.
“We believe that shareholders could receive a greater benefit from a voluntary strategic reduction in the size of the company than from asset sales ordered by regulators,” he added.
According to data from some international media, the proposal has no realistic chance of success, since Alphabet's two senior executives, Larry Page and Sergey Brin, have 51.3% of the shareholders' votes.
However, it shows that there is a growing focus on the prospect of antitrust actions against Alphabet and other big technology firms, such as Facebook Inc and Amazon.com Inc, as they face criticism from politicians and the public over privacy issues and excessive influence in the world of information.
The president of the United States, Donald Trump, has criticized Google several times, stating, without evidence, that its search engine often returns results that are unfavorable to him.
Division
According to Noah Feldman, for Bloomberg, under current antitrust law, large technology companies will not be broken up. However, if regulators and courts decide to reimagine antitrust law, the risk of division grows precipitously.
To understand the distinction, one must keep in mind that antitrust law, as interpreted by the courts today, does not prohibit being a monopoly.
The Federal Trade Commission's website says that "it is not illegal for a company to have a monopoly, to charge 'high prices', or to attempt to achieve a monopoly position through aggressive methods."
Companies can legally take advantage of a monopoly position as long as they do not engage in what the law calls “anticompetitive behavior.”
These behaviors include setting prices artificially low on products to drive out competition and then raising them; forcing exclusive supply agreements or partnerships; or join together two or more products for sale in order to obtain an unfair advantage over a competitor's product.
In practice, therefore, government regulators have to look at monopolistic behaviors and decipher whether they are actually causing real-world economic harm.
Monopoly
A couple of years ago, the European Commission imposed a fine of 2.42 billion euros on the technology giant for abuse of a dominant position with its price comparison service for products such as Google Shopping.