On Wednesday at noon, and by videoconference, the CEOs of some of the largest and most powerful technology companies—Facebook's Mark Zuckerberg, Apple's Tim Cook, Alphabet's Sundar Pichai, and Amazon's Jeff Bezos—will testify to Congress on the topic of whether their businesses discourage competition.
House lawmakers have been investigating these four companies to determine whether they are essentially too large, and in effect function like monopolies.
For Apple undefined, Congress will be looking specifically at the App Store, whereas for Google (GOOGL) - Get Alphabet Inc. Class A Report it will be questioning whether the tech giant uses measures to ensure search engine dominance. Congress will look at Amazon's Arelationship with its third-party sellers. Zuckerberg's Facebook (FB) - Get Facebook, Inc. Class A Report will likely be questioned about the company's many acquisitions that limit competition.
The CEOs will be testifying before the House Antitrust Subcommittee.
TheStreet's Jim Cramer weighed in on the hearing: "Everyone wants to investigate these companies because these companies have wiped out a lot of jobs. But at the same time, what are you going to do to them? It's kind of like Standard Oil. You break it up, you create more value. AT&T. You break it up, you create more value. As a shareholder, I don't think you have to worry. If you were working there, I think you have to worry."
And looking ahead to how the election might impact Big Tech, the TheStreet's Annie Gaus wrote about how a President Biden would approach the tech industry.
"Biden has spoken critically of Facebook, telling a NYTimes interviewer last year that he views CEO and chairman Mark Zuckerberg as 'a real problem.' He said in the same interview that breaking up tech firms should be under consideration, but that it was 'premature' to make a judgment call on antitrust matters," Gaus wrote.
However, Gaus cautioned that Biden's stance is not entirely clear or known yet.
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