Plus: The government’s plan for Microsoft, the limits of health care disruption, and a regular irregular event.
Meta’s purchase of the virtual reality startup Within Unlimited. Comparisons abounded to Facebook’s decade-old purchase of Instagram, then a relatively tiny startup, which only later became an owned-and-operated giant. And it’s not just tech: This week there’sconcerning the Department of Justice’s objection to a merger between the largest publisher, Penguin Random House, and the third biggest, Simon & Schuster. Stephen King himself took the stand to bolster the government’s case.
I’d wanted to talk to Wu in part because I’d known him in his previous guise as a law professor and antitrust activist—he evenarguing for breakups of giant corporations—but I hadn’t spoken with him since he disappeared into the White House. I figured his fingerprints might be all over the administration’s tech policy.
Both Wu and Ramamurti say that a critical step for Biden’s antitrust push was recruiting people like Khan and Kanter who would aggressively enforce the laws—and in the Meta case,to reflect 2022 realities. But Wu says ultimately the key to changing the competitive landscape won’t be just government action, but shifting the mindset so that big companies refrain from bullying behavior that might tie them up in litigation.
When I first read the executive order, I figured that the Competition Council, a twice-yearly gathering of top officials, would be just a ceremonial gathering. Ramamurti admits that a lot of councils and task forces are pro forma—but not this one. “Cabinet secretaries and other agency heads have to say what they accomplished in the last six months and [will accomplish] over the next six months.” The president kicks off the meeting, and each agency has five minutes to explain what it’s done.
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