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The DOJ’s and FTC’s Dangerous Invitation to Europe – The American Spectator | USA News and PoliticsThe American Spectator

The Federal Trade Commission’s (FTC) case against Meta, which aims to decouple it from WhatsApp and Instagram, as well as the recent Department of Justice (DOJ) lawsuit against Google to split off its Chrome browser and Android operating system, sets a dangerous global precedent — especially for the European Union.

As a European who worked in Lithuania’s Ministry of the Economy and Innovation, I cannot help but wonder whether Washington fully considered the global effects of cases against Meta and Google abroad.

In recent months, negative rhetoric has poisoned the once solid transatlantic relationship. This has fueled irrational, protectionist policies, simultaneously weakening the West and benefiting its adversaries. Businesses and consumers across the Atlantic are eagerly awaiting a deal between the U.S. and the EU that would benefit both sides and help calm the tension. (RELATED: Trump Hates EU Tech Meddling. Why Is He Letting His FTC do the Same?)

In Brussels, there’s been a bubbling sentiment that EU trade war retaliation should be directly targeted at U.S. tech firms. The EU has long considered introducing a digital services tax, in addition to the costly investigations associated with the enforcement of the expansive Digital Markets Act (DMA), which issued its first official fines this week against U.S. tech firms. (RELATED: Republicans Should Reject European-Style Tech Policy)

Apple has been fined $570 million over its app stores, while Meta was hit with a $228 million penalty for not requiring Europeans to pay to use Facebook and Instagram ad-free.

In a change of pace from the Biden years, the Trump administration has been especially vocal about protecting U.S. companies in Europe. In February, the White House issued a directive challenging the EU’s Digital Markets Act and calling for Europe to “make the markets in the digital sector fairer and more contestable.” (RELATED: Will Trump Fix Insidious FTC, DOJ Abuses?)

Why is the U.S. swatting at Europe for its anti-tech posture with one hand while it strong-arms those same companies with the other?

Granted, the U.S. and EU have crafted distinct regulatory regimes for competition law.

Comparing the FTC’s and DOJ’s cases to the DMA is not without its flaws, however, the end goal on both sides of the Atlantic is the same — reducing the influence of global firms, often under the guise of protecting consumer choice.

The FTC argues that Meta’s acquisitions were strategic moves to neutralize “emerging threats” in the social networking space. U.S. antitrust advocates, as well as FTC Chair Andrew Ferguson, also contend that Meta’s dominance in the sector has been maintained through these acquisitions, ultimately leaving users with fewer choices.

However, Facebook, Instagram, and WhatsApp serve entirely different purposes and cater to distinct users and demographics. The ability to crosspost stories from Instagram to Facebook is convenient, but it’s hardly the point.

Meanwhile, new social media platforms are emerging across the globe and making their way into the U.S. market. Users vote freely with their attention and new downloads, but still, the world is becoming less open overall.

The DOJ argues that Google maintains an illegal monopoly in search by paying to be the default engine on devices, locking out rivals, and reinforcing its dominance. The DOJ’s case against Google could potentially harm consumers by increasing device costs, compromising user privacy, and hindering innovation, particularly in AI development.

While China can be expected to restrict access to content hosted by American tech companies, European nations are now debating how to build their own social media network, search engines, and other digital services to replicate the American tech model. Russia is banning American platforms left and right.

All the while, regulators in Brussels are sharpening their pencils.

The United States is dangerously close to embracing ideas that undermine the very foundations that enabled its tech companies to scale and lead the world. There’s no clear indication that American consumers will have more choices or better outcomes if the FTC gets its way in the Meta case, or if the DOJ breaks up Google, but we do know that Europe is taking notes.

If Meta and Google were to be forced into a divestiture by the Trump administration, you can be sure that no one in Brussels will ever take criticism of the Digital Markets Act seriously again.

Egle Markeviciute is the former deputy minister of Lithuania’s Ministry of Economy & Innovation and head of digital & innovation policy at the Consumer Choice Center.

READ MORE:

Trump Hates EU Tech Meddling. Why Is He Letting His FTC do the Same?

Republicans Should Reject European-Style Tech Policy

Will Trump Fix Insidious FTC, DOJ Abuses?

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