Big (But Not Bad) Data and Merger Efficiencies
January 27, 2020
“Big data” has become one of the hottest subjects for antitrust enforcers around the globe. There is concern that large tech companies are amassing vast amounts of data and will use that data to entrench their dominant positions. With this emerging view, more data may be viewed as anticompetitive.
Yet, recent transactions such as CVS-Aetna (in which Dechert represented CVS) and AT&T-Time Warner show how the use of data can be procompetitive, reducing costs and benefitting consumers in the process. Under the right circumstances, big data can drive substantial merger efficiencies, a key showing in obtaining merger clearance.