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U.S. bill would stop Big Tech favoring its own products By Reuters

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© Reuters. FILEPHOTO: In a photo/FilePhoto, the logos of Amazon and Apple as well as Facebook, Google, and Facebook are combined.

By Diane Bartz

WASHINGTON (Reuters] – A total of 12 U.S. Senators from each party introduced a bill Monday that would ban Big Tech platforms such as Amazon (NASDAQ) or Alphabet (NASDAQ) from favoring their products.

This bill is one of many that have been introduced to limit the market power of tech companies, such as industry leaders Apple (NASDAQ) and Facebook (NASDAQ). None of the bills have been passed, but one that would provide more resources to antitrust enforcement officers was approved by the Senate.

The bill, sponsored by Senators Amy Klobuchar & Chuck Grassley would ban platforms from requiring businesses to use their platform to buy its goods and services. It also prohibits them from biased search results in favor of the platform.

The House Judiciary Committee has approved a companion. To become law, it must be approved by both Houses of Congress.

Reuters reported on Wednesday, after reviewing thousands of internal Amazon documents, that Amazon’s India operations ran a systematic campaign of creating knock-offs and manipulating search results to boost its own private brands in the country, one of the company’s largest growth markets.

Amazon and Google warned against unintended consequences after the announcement of the bill was made public last week.

Amazon said in a statement that the bill, if it became law, “would harm consumers and the more than 500,000 US small and medium-sized businesses that sell in the Amazon store, and it would put at risk the more than 1 million jobs created by those businesses.”

Google claimed that it would be more difficult for companies offering free services — Google Maps and search are both free — and make these services “less safe, less private, and less secure”.

Facebook stated that it is in competition with TikTok (NYSE:) and Twitter. It said that antitrust laws shouldn’t “try to destroy the products and services people rely on.”

Klobuchar is chairman of the Senate Judiciary Committee’s antitrust subcommittee, while Grassley serves as the top Republican member on the entire committee. The co-sponsors are five Democrats, five Republicans.

Spotify (NYSE:) was one of the companies that supported the bill. Roku (NASDAQ :), Match Group (NASDAQ 🙂 and DuckDuckGo. Klobuchar’s office released this statement.

Stacy Mitchell from the Institute for Local Self-Reliance stated that the bill wouldn’t break up companies nor force them to discontinue services, but it does ban some harmful behaviors that can affect businesses who rely upon their platforms.

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