The FTC pressured “Big Tech Companies” to prevent monopolized
The Federal Trade Commission (FTC) is prosecuting tech giants like Meta, Microsoft, and Amazon for monopolizing personal social networking. Meta is being pressured to divide Facebook, Instagram, and WhatsApp, while Microsoft was targeted for acquiring Activision Blizzard. The FTC’s merger policy discourages startup investment, and Amazon is preparing to sue for unlawful competition. Lina Khan,…
AI is the next giant tech which have unclear values
New lawsuits are being filed to break up Google, Meta, and possibly Amazon, potentially leading to new tech giants. Blair Levin, former Federal Communications Commission Chief of Staff, believes that these cases could lead to new tech giants, but there is no guarantee. The technology behind these lawsuits is not clear, and neither IBM nor…
Digital Companies tightened with US government antitrust litigation
Digital companies face US government antitrust litigation, but past disputes have demonstrated that even if the government loses, new enterprises can emerge. Microsoft, for example, faced a 1969 federal prosecution against IBM, which was dismissed due to “flimsy” evidence. Between 1998 and 2001, Microsoft faced a settlement that allowed more internet browser software competition, allowing…
The BOJ not rising interest rates in the previous 18 months
The yen has fallen to its lowest level against the dollar since November, putting pressure on the Bank of Japan to tighten its ultra-loose monetary policy and strengthen the currency. The US Federal Reserve chair Jay Powell suggested greater domestic interest rate hikes, potentially expanding the US-Japan borrowing cost disparity. Japan is the only major…
The SEC has announced that Wells Fargo will pay $35 million advisory fee
Wells Fargo will pay $35 million to settle U.S. advisory fee overcharging claims, accusing the company of overcharging over 10,900 investment advising accounts $26.8 million. The SEC claims Wells Fargo and its predecessors overcharged clients who opened accounts before 2014. Wells Fargo settled without admitting or rejecting the claims, and reimbursed $40 million, including interest.
The US indirect supply-chain links to China remain intact
A report at the Federal Reserve Bank of Kansas City’s annual Jackson Hole conference revealed that China remained in US supply chains despite efforts to decrease direct imports. Between 2017 and 2022, US imports from China decreased, while imports from Vietnam and Mexico increased. However, Chinese enterprises are increasing exports and foreign direct investment in…
‘The Fed will raise rates further if necessary.” said Powell
Federal Reserve Chair Jay Powell announced that the central bank’s fight against inflation is not over and may see more interest rate hikes. Although inflation has decreased from its peak, it remains too high. Powell warned that the Fed will raise rates further if necessary and maintain policy restrictions until it is confident that inflation…
Government debt is double the nation output
The rise in public debt over the past decade and a half due to governments’ borrowing to combat the Global Financial Crisis and COVID-19 is likely irreversible. A research report by IMF economist Serkan Arslanalp and Berkeley economist Barry Eichengreen suggests that debt reduction is unlikely in practice due to population aging, rising interest rates,…