Reaction to recent trial losses; focus of enforcement
will remain on mergers between competitors
On June 30, the US Department of Justice and the Federal Trade
Commission published new Vertical Merger Guidelines
clarifying the analytical framework the agencies use to evaluate
transactions between companies that are not current or potential
future competitors – so-called "vertical"
transactions.
The guidelines replace 1984 guidance issued by the DOJ. They are
touted by the agencies as providing predictability and clarity,
while affirming the agencies' commitment to vigorous
enforcement and willingness to challenge such transactions.
Transparency is valuable as the agencies increasingly scrutinize
vertical mergers, including those by online platforms that are not
competitors, and review consummated deals in high-tech markets.
