Apple, Google, Facebook and Amazon face potential regulatory scrutiny

Politicians and technology leaders have spent more than a year debating the role that technology regulators, who have had a disproportionate influence on the US economy, should play.

Monday was the day when discussions turned in the early stages of action and the market punished big techs.

Investors were particularly concerned about Facebook and Google Alphabet on Monday, sending shares of more than 6% down. Amazon fell by more than 4.6% and Apple by 1%. In total, they lost around $ 130 billion in market value and led to a 1.6% drop in Nasdaq Composite, pushing the techno-heavy index into correcting territory, down more than 10% from to the record reached in April.

After learning Friday night that the Justice Department was preparing an antitrust investigation on Google, Reuters announced Monday that the same department was now proficient in Apple's practices as part of a broader review of the behavior technology companies.

In the meantime, the Federal Trade Commission reportedly oversaw Amazon and Facebook to determine how these companies could harm the competition.

Probes are in their infancy, based on published accounts, no significant fine, no forced split or changes in business practices are expected so soon.

But with increased scrutiny over four of the five most profitable companies in the world (Microsoft has the largest market capitalization), regulators suggest that days of unhindered growth for the technology sector could be counted.

In a report released Thursday on the risks incurred by Amazon, D.A. Davidson analysts pointed out that "the potential for antitrust and regulation around the world" was an obstacle to future expansion. The United States is only the last concern.

"In addition, foreign governments also realize the danger of allowing a few tech titans to have such a huge influence on the daily lives of consumers, including not only Amazon, but also Apple, Facebook and Google. the day-to-day increase, so that's something we're watching closely, "the report says.

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