The US competition authority FTC has a new boss: Lina Khan. The 32-year-old is both hated and feared by tech companies in Silicon Valley.
Amazon has now officially applied to the FTC that Khan should stay out of competition law audits. The internet company accuses the head of the agency of being biased and is referring to Khan’s earlier publications.
Do we need new test procedures to determine market power?
In the past she had argued that the test procedure common in the USA, whether end consumers would be disadvantaged by a lack of competition within an industry due to higher prices, was not sufficient to determine the actual market power – this applies in particular to international online giants such as Amazon . In fact, customers could even benefit from low retail prices, while top dogs like Amazon put smaller competitors under pressure.
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