vertical foreclosure

Revising Guideline 6 With Evidence To Establish a Structural Inference for Input Foreclosure

Vertical merger law lacks the structural presumption of horizontal merger law, which shifts the burden from the government to the merging parties to provide evidence that a merger will not produce anticompetitive effects when it is known that the merger will substantially increase market concentration. To improve Guideline 6 of the draft Merger Guidelines concerning vertical foreclosure, Steven Salop develops a three-factor criteria with which the government antitrust agencies can show an analogous structural “inference” that shifts the burden of evidence to the merging parties.

An Excessive Evidentiary Burden Sunk the FTC’s Case Against the Meta/Within Merger

In early February, a district court judge rejected the FTC’s preliminary injunction suit to block Meta’s purchase of Within, a developer of a virtual...