TLDR:
Antitrust law refers to regulations that promote market competition by limiting monopolistic behavior, price-fixing, and anti-competitive mergers, ensuring fair markets for businesses and consumers.
Major Antitrust Laws
Key US antitrust laws include the Sherman Antitrust Act (1890) prohibiting monopolization and restraint of trade, the Clayton Act (1914) addressing anti-competitive mergers, and the FTC Act establishing the Federal Trade Commission. EU competition law operates under Articles 101 (anti-competitive agreements) and 102 (abuse of dominance) of the Treaty on the Functioning of the European Union. Other jurisdictions have similar frameworks.
Antitrust in Tech
Big tech companies face significant antitrust scrutiny globally. Major cases include US v. Google (search distribution), US v. Microsoft (1990s), EU vs. Google (Android, AdSense, Shopping), Apple App Store cases, and Meta investigations. The Biden administration has taken a more aggressive stance, blocking deals previously considered approvable. Tech regulations like the EU’s Digital Markets Act create new ex-ante rules for ‘gatekeepers’.
Antitrust in M&A
Most significant mergers require antitrust review (HSR Act in US, EU Merger Regulation, similar frameworks globally). Antitrust review can: clear deal unconditionally (most outcomes), impose conditions (divestitures, behavioral commitments), or block deal entirely (Meta/Within, Microsoft/Activision initially). For startups, antitrust risk is increasingly relevant in exits to large strategic acquirers. Smart founders consult antitrust counsel when assessing acquisition offers from market-leading buyers.