Open Markets' Letter to the French Competition Authority
Open Markets submitted a letter to the French Competition Authority advocating for updates to France's merger control thresholds to address concerns over "killer acquisitions" by dominant firms, especially in Big Tech and Big Pharma, emphasizing the need for a more robust and flexible regulatory framework.
The Open Markets Institute emphasizes the need for France to update its merger control rules, noting that jurisdictions around the world are already adjusting thresholds to address potentially harmful mergers involving small, emerging companies, particularly in sectors like tech. These types of acquisitions can harm competition, reduce innovation, and lead to dominant market positions that disadvantage consumers. The Institute highlights that many small acquisitions, even those involving large, dominant firms, may evade scrutiny, leading to anti-competitive consequences. It points out that other regions, including the European Union and the United States, are already evolving their frameworks to better address such deals. In response, the Institute advocates for raising merger control thresholds in France, particularly for so-called "killer acquisitions," where small firms with valuable intellectual property or innovative technology are absorbed by larger players. This proactive approach, they suggest, would help preserve competition and innovation by preventing harmful market concentrations. By aligning with global trends, France can strengthen its regulatory system and safeguard a competitive, innovative market environment, ensuring its position in the global economy remains strong.