Experts predict that former President Donald Trump may ease certain antitrust policies implemented under President Joe Biden, particularly regarding Big Tech companies like Google, while still pursuing ongoing cases. A significant shift could involve a reevaluation of efforts to break up Google, which has been the target of two major antitrust cases by the U.S. Department of Justice (DOJ) – one concerning its dominance in search and another related to advertising technology. Although Trump has expressed skepticism about breaking up companies like Google, stating that a more fair approach could be achieved without dismantling the company, the final disposition of these cases will likely depend on how the Trump administration directs the DOJ moving forward.
Currently, the DOJ’s search case against Google includes potential remedies like forcing the company to divest portions of its business, such as its Chrome web browser, or ending exclusive agreements that make Google the default search engine on devices like Apple’s iPhone. However, the trial is not expected until April 2025, leaving room for potential changes in direction, especially with a new administration in control.
Trump’s anticipated influence over the DOJ could lead to a shift in how the department handles these cases, particularly regarding remedies or penalties. William Kovacic, a law professor at George Washington University and former FTC chair, pointed out that Trump has the authority to control the disposition of the case’s remedies phase. This gives him the power to steer the DOJ’s approach to ensuring a more competitive market without resorting to extreme measures like company breakups.
Moreover, Trump’s policies are expected to pull back on several Biden-era actions that have caused frustration among dealmakers and corporate interests. One such policy is the Biden administration’s resistance to settling with merging companies. Historically, the DOJ and Federal Trade Commission (FTC) would allow companies to address competition concerns by, for example, selling off certain parts of their business. Under Biden, however, merger guidelines have been more restrictive, creating a more hostile environment for mergers and acquisitions. Trump, on the other hand, is likely to ease these guidelines and adopt a more lenient approach, benefiting dealmakers who have found the current merger review process too burdensome.
Additionally, Trump’s administration could potentially challenge policies like the FTC’s ban on most noncompete clauses in employment contracts. The FTC has proposed a rule that would significantly limit noncompete agreements, which currently affect 20% of U.S. workers. If Trump’s administration shifts priorities, this rule may be overturned, especially if a Republican-appointed FTC chair is confirmed to replace current chair Lina Khan. Khan has spearheaded efforts to address corporate consolidation, but her aggressive stance has drawn criticism from business groups and some political figures.
Despite these shifts, Trump is not expected to drastically reduce antitrust enforcement. The number of merger cases filed during his first term was comparable to the initial years of Biden’s presidency. Thus, while his approach may be less combative, antitrust enforcement will likely remain a focus, but with a potentially different emphasis on how to promote fair competition without targeting major disruptions to the business world.