FT : Avis/US car rentals: supply squeezes mean tourists pay up

Avis/US car rentals: supply squeezes mean tourists pay up
The vagaries of the auto industry are behind eye-popping rates for holidaymakers

While waiting in an interminable line at the rental car counter to pay a sky-high price for a high-mileage vehicle, Avis Budget would like you to know that you are getting a bargain. Amid a travel boom in America, holiday-makers now confront car shortages and eye-popping daily rates. Avis shares have rallied from about $10 in early 2020 to $90 earlier this month, one of this year’s best performers.

Avis claims that over the previous decade, rental car rates have remained flat while hotels and airfare costs have exploded. But this is not why demand is soaring. Car rental companies are benefiting from the vagaries of the auto industry. Supply chain problems have limited new car production while used car prices have jumped sharply. The question for Avis and its peers is what demand will look like when the marketplace returns to normal.

Existing demand requires some scrutiny. In the first quarter of 2021, Avis generated average daily revenue of $60 per car in the Americas region, up 12 per cent year over year. At the same time, however, the number of “rental days” fell by nearly a quarter. This was partly the result of reduction in customer requests. But Avis also reduced its fleet by nearly a third, down to just under 300,000 cars in the US. As a result, vehicle utilisation rose to nearly 70 per cent, up a tenth.

There is a careful balance between having too many and too few cars on lots, and that affects the implied rates that can be charged. In the past, the industry tended to be lax about such discipline. Companies chased market share over returns. For now, demand is expected to remain elevated. It will perhaps take several months, if not years, for travel disruptions to be resolved. Still, the steep run up in Avis’ valuation and remarkable bidding war for the bankrupt Hertz both suggest that any bargains in car rental shares no longer exist.

>>> US After Hours Summary: Fed provides testimony; Biden says bank regulators s

After Hours Summary: Fed provides testimony; Biden says bank regulators say financial system is in strong condition; SCVL +3.2% higher on stock split, nice guidance

After Hours Gainers:

Companies trading higher in after hours in reaction to earnings/guidance: NTR +2.5% (raises 1H21 adjusted earnings guidance)

Companies trading higher in after hours in reaction to news: SAFM +11.1% (co is exploring sale; ag investment firm Continental Grain a potential suitor, according to WSJ), TUP +6.5% (authorizes $250 mln share repurchase plan), SCVL +3.2% (announces 2-for-1 stock split, guides full year EPS and revs above consensus), NOVN +2.7% (prices offering), AJRD +1.7% (successfully tests solid rocket motor technology), ACAC +1.3% (completes combination with PLAYSTUDIOS), KGC +0.8% (provides update regarding fire at Tasiast mine; revises 2021 production guidance), TMHC +0.6% (CFO retires), QGEN +0.3% (announces the launch of CRISPR products for analysis of gene-editing experiments), XOM +0.3% (to cut workforce by up to 10% annually, according to Bloomberg), OEC +0.1% (settles arbitration proceedings with Evonik), MRNA +0.1% (awarded a $3.3 bln modification to US Army contract for 200 mln doses)

After Hours Losers:

Companies trading lower in after hours in reaction to earnings/guidance: None

Companies trading lower in after hours in reaction to news: MVIS -10.4% (enters into $140 mln At-the-Market (ATM) equity offering agreement), AFCG -9.6% (launches public offering of 2.75 mln common shares), FOCS -6.2% (stock offering), SBLK -5.2% (Oaktree Capital commences public offering of 2,382,775 shares), KOS -3% (files mixed securities shelf offering), NXGN -2.9% (CEO steps down; also reaffirms full year guidance), NKLA -2.5% (stock offering), NEXT -1.7% (names new COO), ZEV -1.5% (stock offering), DFS -0.9% (files mixed securities shelf offering), WTRG -0.5% (stock offering), ALK -0.2% (provides operations update in 8-K filing; consumer spend levels have recently surpassed 2019 levels), TEVA -0.2% (EXEL files patent infringement complaint against TEVA), DAL -0.1% (planning to hire more than 1,000 pilots by next summer amid rebounding travel demand, according to CNBC), UDR -0.1% (prices offering)

NYT : A Rare Look Inside a Hedge Fund Mogul’s Tax Returns

A Rare Look Inside a Hedge Fund Mogul’s Tax Returns
The multimillionaire Boaz Weinstein disclosed why he paid no or little taxes for several years.

If rich people lose money, should they pay tax?
Last week, ProPublica published an article about the tax records of Boaz Weinstein, the multimillionaire hedge fund manager famous for betting against the JPMorgan Chase trader known as the “London Whale.” The article reported that Mr. Weinstein and his wife, Tali Farhadian Weinstein, who is running for Manhattan district attorney and may inherit an investigation into Donald Trump’s New York State taxes, paid no or very little federal tax in “four of six recent years” between 2010 and 2018.

It was the latest in a series of articles that ProPublica has produced based on a trove of private I.R.S. data detailing the taxes of America’s wealthiest individuals. The thesis of the package is that “it demolishes the cornerstone myth of the American tax system: that everyone pays their fair share.” The article about the Weinsteins did not suggest that they did anything illegal, and it said that Ms. Farhadian Weinstein’s run for elected office made their tax history a matter of public interest.

The article about the Weinsteins may leave some readers thinking there is something off about their taxes. Our reporting says otherwise. For those who have covered Mr. Weinstein’s up-and-down career, as DealBook has, it’s well known that he genuinely and repeatedly lost money for a good stretch of the last decade. His fund, Saba Capital Management, had as much as $5.6 billion in assets under management in 2012 — but so many investors withdrew their money because of poor performance that at one point it fell to $1.3 billion.

We asked Mr. Weinstein for his tax returns and — surprisingly — he gave them to us. We also reviewed the reports his hedge fund provided to investors to check for discrepancies between what he reported to the I.R.S. and the fund’s returns. He has told his investors that 95 percent of his net worth is invested in his funds.

  • According to the tax returns, from 2010 to present, the Weinsteins paid $86.3 million in federal taxes and $37.7 million in New York State and city taxes, for a total of $124 million. The couple’s adjusted gross income during the same period was $288.9 million; their taxable income was $246 million, lowered in part by $29.5 million in philanthropic gifts.

Mr. Weinstein appeared to come by his tax bill in a straightforward way: He lost money. Unlike many of the individuals ProPublica highlighted whose net worth went up but they reported no taxable income — like Jeff Bezos and Elon Musk — Mr. Weinstein’s wealth was falling in the years he paid little or no tax. He also used a mark-to-market method for tax filing purposes known as a Section 475 election, which meant he paid taxes on both realized and unrealized gains.

  • Mr. Weinstein’s flagship fund was down 3.87 percent in 2012, 6.75 percent in 2013 and 10.81 percent in 2014. It eked out a 3.37 percent gain in 2015 and then a 22 percent increase in 2016. In 2017, his fund lost 8.9 percent, before posting an 11 percent gain in 2018. He lost 12.8 percent in 2019 and posted a whopping gain of 73 percent in 2020.

ProPublica’s reporting on the tax bills of the wealthiest Americans should incite an important debate in the country. DealBook has been particularly vocal about the need to reform the tax code. The American public might come to the conclusion that the rich should still pay taxes even in years when they genuinely lose money or simply become less wealthy. But that’s not the way the current system works, in reality or in spirit.

Business of Fashion : Japanese Fashion E-Tailer Zozo’s Transaction Value Hits Ne

Japanese Fashion E-Tailer Zozo’s Transaction Value Hits New High

During its financial year ending March 2021, the Softbank-backed operator of online fashion platform Zozotown — as well as the recently launched luxury portal Zozovilla and beauty e-tailer Zozocosme — reported that its transaction value was up 22 percent year-on-year, hitting a new high of 419.4 billion yen ($3.8 billion), Nikkei Asia reports.

Zozo’s investments into fit tech are proving fruitful under the leadership of president Kotaro Sawada, who took over from founder Yusaku Maezawa in 2019. According to the firm, over one million shoppers have ordered its Zozoglass, a smart eyewear device launched in March that analyses its wearer’s skin type to facilitate product recommendations on its app. Last year, Zozo launched its Zozomat, which generates 3D footwear sizing data.

Last year, the firm announced that its infamous Zozosuit, launched under Maezawa as a fit tech solution for Zozo’s in-house labels, would be made available for other brands. Beyond the suit, Sawada is looking to grow Zozo into a player that not only sells goods but works with brands throughout the value chain, from manufacturing to logistics. This year, it set up a unit that advises brands on their operations and infrastructure.

WWD : French President Emmanuel Macron Inaugurates La Samaritaine

French President Emmanuel Macron Inaugurates La Samaritaine
The French leader joined luxury magnate Bernard Arnault to unveil a plaque at the department store after a 16-year renovation.

PARIS — French President Emmanuel Macron joined luxury magnate Bernard Arnault on Monday to inaugurate the La Samaritaine department store, marking the culmination of a 16-year renovation process that promises to galvanize shopping and tourism in Paris as the city emerges from the coronavirus pandemic.

“Oh la la!” the French leader exclaimed as he walked into the painstakingly restored Art Nouveau building, where 700 employees lined along the stairs and balconies greeted him with loud cheers.

First Lady Brigitte Macron and Paris Mayor Anne Hidalgo stood with Arnault’s wife Hélène Mercier-Arnault, while the billionaire’s children Delphine, Antoine, Alexandre and Frédéric, and senior executives from LVMH Moët Hennessy Louis Vuitton, looked on.

“There are times like this when the things you do are like a perfect metaphor for what we’re going through, and our country, like many others — not to mention the entire planet — has been through difficult times these last 15 months,” Macron said in a speech. “Despite everything, we’re getting ready for a fresh start.”

He praised Arnault and his group for their “relentless” commitment to the project, noting that none of it would have been possible without teamwork.

“Despite the masks, we can see your smiles,” he said, as a murmur of approval rose from the crowd. “Despite the masks, we can feel your enthusiasm, your desire to bring this place alive again and to welcome people back here — in short, to embrace life again in all its forms.”

A pharaonic project that has gobbled up time and resources, La Samaritaine was due to open in April 2020 — but the COVID-19 crisis added another delay to what has been a tortuous development process for the historic Right Bank department store.

Now LVMH is betting that its 750 million-euro investment will pay off, despite the continued absence of tourists, which are the lifeblood of DFS, the travel retail division that operates the store. The group bought a majority share in La Samaritaine in 2001 and raised its stake to 100 percent in 2010.

“This project would not have been possible if we didn’t have a long-term vision for our investments,” Arnault, who is chairman and chief executive officer of LVMH, said in his speech. “I believe that only a family-run group could have shouldered such an investment with no return for more than 15 years.”

Founded in 1870 and shuttered in 2005, the rechristened Samaritaine Paris Pont-Neuf is reemerging as a mixed-use site including a Cheval Blanc hotel, offices, low-income housing and a day care center.

Turning to Hidalgo, who has riled retailers by banning car traffic from sections of central Paris, Arnault noted that a total of 3,000 people would be employed at the site. “So Madam Mayor, you don’t risk being told that you are transforming Paris into a museum city,” he said with a smile.

The hotel, due to open on Sept. 7, is located in an Art Deco building overlooking the Seine river, while the department store occupies the Art Nouveau edifice, inaugurated in 1910, in addition to a new building with a wavy facade on Rue de Rivoli, designed by Pritzker Prize-winning Japanese architecture firm Sanaa.

Eléonore de Boysson, region president Europe and Middle East at DFS Group, is confident it will transform the area.

“One of La Samaritaine’s major assets is its location between the Louvre and Notre-Dame de Paris, in the Pont-Neuf neighborhood, which has been totally revamped. The Rue de la Monnaie has been pedestrianized. The Place de la Samaritaine is completely new,” she told WWD during a preview visit.

She pointed to a slew of major projects in the area, including the renovation of the gardens adjoining the Forum des Halles shopping mall; the recent opening of French billionaire François Pinault’s Bourse de Commerce contemporary art museum; the impending opening of the La Poste du Louvre, another mixed-use site, and the Fondation Cartier’s planned move to a location nearby.

“There are lots of things happening in this area, and we think it will be the hippest neighborhood in Paris,” said the executive, who previously oversaw the development of DFS Group’s first European store, the T Galleria Fondaco dei Tedeschi in Venice, Italy.

In a press conference on Monday, the executive said the store hopes to draw 5 million visitors a year within the next three or four years, though it would be up to two years before tourists return to the French capital.

Jean-Jacques Guiony, chief financial officer of LVMH and CEO of La Samaritaine, said it should eventually match sales by square foot at LVMH’s Left Bank institution, Le Bon Marché, though he cautioned it will take time.

“It’s extraordinarily complex to predict sales and evaluate the potential scenarios in a year like next year, which is completely uncertain at this stage. We must not forget that customers have lost the habit of coming to La Samaritaine over the last 15 years,” he said.

“Both tourists and locals will need a little time to find their way back to La Samaritaine, so La Samaritaine has to become a destination, and that’s not something that can be achieved in 10 minutes,” Guiony added.

During lockdown, Hidalgo controversially banned cars from Rue de Rivoli, the commercial artery on which the store is located, with the exception of buses, taxis, delivery cars and emergency vehicles, but de Boysson put a positive spin on the measure.

“Now that there are bikes everywhere, it’s going to become a very attractive thoroughfare for tourists, whereas before, it was more just a way of crossing Paris,” she reasoned.

With 12 on-site dining options, she hopes the store will also become a hub for nearby office workers. “One of the primary objectives of our food offer is to make this a destination for locals, and not just in the evening,” she said. “We’ve been careful to ensure that prices are extremely reasonable so that people come here for lunch.”

Politically charged from the outset — the store’s closure angered employees and longtime patrons — the project encountered resistance from local authorities at various stages, and plans for the modern glass exterior sparked lengthy debates about how much change should be allowed in the city’s historic center.

It also harbored technical challenges, as security concerns prevented the rebuilding of floors of sales space, and there were often tensions between interest in historical preservation and safety issues.

As a result, La Samaritaine is relatively small by Parisian department store standards, with just 215,000 square feet of selling space. By comparison, Printemps has almost 485,000 square feet at its flagship on Boulevard Haussmann, while the main Galeries Lafayette store totals 754,000 square feet.

“Obviously, it feels much bigger because we have a lot of atriums,” de Boysson said. “There is light absolutely everywhere in the building, which makes it a bit different from other department stores, which tend to be closed in on themselves.”

A soaring glass roof overlooking a criss-crossing elevator bank is equipped with electrochrome glass by Saint-Gobain that turns blue to filter heat and UV rays during hot weather. Bay windows provide close-up views of the gargoyles of the neighboring church of Saint-Germain l’Auxerrois.

Due to limited space, the store does not have a food hall, wine cellar or homewares. Instead, it is banking on a curated selection of women’s and men’s ready-to-wear, accessories, watches and jewelry; women’s shoes; a gift store, and continental Europe’s biggest beauty floor — all spread over seven floors in the main building.

The concept is a playful take on the French art de vivre, with a mix of leading luxury brands like Louis Vuitton, Dior, Celine and Tiffany & Co., and smaller brands like Ganni, Isabel Marant, Wandler and Casablanca. The store carries 600 brands in total, of which 50 are exclusives.

“La Samaritaine is about a generous, inclusive take on luxury that is not ostentatious. There’s always a little twist,” de Boysson said, pointing to a display of skewed Paris street signs in the store’s signature yellow hue, which also designates exclusive brands and products. “It’s very young and very friendly.”

Loulou, the 2,150-square-foot concept store on the ground floor, faces the Pont-Neuf bridge and offers more than 1,500 objects ranging from inexpensive trinkets to souvenir merchandise, high-tech gadgets and even a Samaritaine-branded bicycle. Visitors are encouraged to snap selfies in a window decor inspired by a Parisian café.

The three-story building on Rue de Rivoli targets a Millennial audience with a mix of clothing, food, art and streetwear. Exclusives include Shinzo Green, a space curated by French sneaker retailer Shinzo that focuses on sustainable shoes, and a pop-up store curated by gallerist Emmanuel Perrotin.

“La Samaritaine stands for the duality between modernity and tradition, between the cheeky Paris of Les Halles and the majestic, romantic Paris of the Seine and the Louvre. We’re constantly playing with this tension,” de Boysson explained.

In addition to restoring the spectacular gold-hued peacock mural on the fifth floor, which will house Voyage, a sprawling restaurant and bar featuring a rotating cast of top chefs, La Samaritaine has invited street artists Antonin Hako, Antwan Horfee and Pablo Tomek to customize the walls of its Factory space for the opening.

Dining options include a healthy eatery called Parisienne, developed by Maison Plisson founder Delphine Plisson; Zinc, a café run by coffee roastery La Brûlerie des Gobelins; Street Caviar, an exclusive concept by Maison Prunier with light bites including a caviar sandwich; and Ernest, a bakery with an adjoining brasserie featuring a menu by “Top Chef” winner Naoëlle d’Hainaut.

The store is dotted with corners dedicated to LVMH-owned wines and spirits brands, including Champagne house Ruinart and cognac-maker Hennessy, offering personalized packaging.

A 330-foot moving walkway, surrounded by video screens recounting the history of the store, connects the nearby underground car park to the basement-level beauty floor, which houses a Cinq Mondes spa and a clean beauty studio. A dedicated 3,200-square-foot space will greet tour groups as they disembark.

Design agency Atelieramo sourced an eclectic array of vintage and designer furniture for the apartment-style VIP space on the first floor, which also features art works by five artists in residence at the LVMH Métiers d’Art workshops. The space will host personal shopping services and press events, among others.

Canadian firm Yabu Pushelberg, which has created interiors for Printemps and Lane Crawford, designed all the interiors of the Pont-Neuf building, with the exception of the basement, with terrazzo floors that echo Parisian paving stones.

The beauty department is the work of French architect Hubert de Malherbe, while French agency Ciguë was in charge of the trendy Rivoli building.

De Boysson said the journey through the store was designed to make the customer linger. “We want people to have fun,” she said. “La Samaritaine is like a really pleasant stroll. And when you’re strolling, there are surprises, you discover things, you feel good.”

Some 1,700 people will work at the department store, including 700 DFS staff, 700 concession and restaurant employees, and outside contractors for cleaning and security. The Cheval Blanc hotel will employ 400 people, and the building will also house the new headquarters of French fragrance and beauty house Guerlain.

De Boysson, who’s been working on the project for eight years, said the store was initially due to bow in March 2017. Last year, 600 people came on staff ahead of the rescheduled opening on April 2, only to be furloughed as the government implemented a series of lockdowns designed to curb the spread of COVID-19.

The store will finally open its doors on June 23. “We are happy, and especially impatient, to open and to earn the public’s endorsement,” de Boysson said.

WSJ : Lordstown Motors Executives Sold Stock Ahead of Reporting Results and Befo

Lordstown Motors Executives Sold Stock Ahead of Reporting Results and Before Troubles Came to Light
A board special committee concluded the share sales ‘were made for reasons unrelated to the performance of the company’

Several top executives at Lordstown Motors Corp. RIDE -5.45% sold off chunks of stock in the electric-truck startup ahead of reporting financial results, according to regulatory filings disclosing the transactions.

Securities lawyers and accountants say such trades raise questions about the company’s internal controls, especially in light of its recent troubles.

In all, five top executives, including the company’s president and its former chief financial officer, sold more than $8 million in stock over three days in early February, according to the filings.

Lordstown Motors, which went public in October and plans to build electric trucks at a former General Motors Co. plant in Ohio, reported year-end results for the first time as a listed company in mid-March. Its net loss of 23 cents a share for the quarter was more than double analysts’ expectations, according to FactSet.

The two-year-old startup has yet to begin production on its first model, a battery-powered pickup called the Endurance that is aimed at commercial buyers, such as businesses and fleet operators.

One of its executives, Chuan “John” Vo, who oversees Lordstown Motors’ propulsion division, sold almost all of his vested equity—99.3%—on Feb. 2, leaving him with 717 shares and proceeds of more than $2.5 million, the filings show.

President Rich Schmidt, a former Tesla Inc. manufacturing executive who joined the company in 2019, sold 39% of his vested equity over two days in February for $4.6 million, according to company filings. He used some of the proceeds to expand another venture that he had started recently, a turkey-hunting farm in Tennessee, a company spokesman said.

Three other executives, including Lordstown Motors’ former finance chief, who resigned last week, sold smaller holdings around the same time in February with the transactions ranging between roughly $250,000 and $400,000 in value, filings show.

Four of the five executives declined to comment through a Lordstown Motors spokesman. The company also declined to comment on its financial oversight of executives. The fifth, former Chief Financial Officer Julio Rodriguez, couldn’t be reached for comment.

On June 14, the company said a special committee formed by Lordstown Motors’ board had looked into the executives’ stock sales and concluded they “were made for reasons unrelated to the performance of the company.”

Securities lawyers, accountants and analysts say such transactions are highly unusual, particularly because they occurred during a period when many other publicly traded companies bar executives from selling shares.

“We wouldn’t expect insiders to typically sell at that time in the quarter,” said Max Magee, an analyst at InsiderScore, a research service that provides executive-trading data to investors to help guide investment decisions.

Most listed companies have so-called blackout periods that prevent business leaders from trading company stock outside of prearranged plans from some time around the end of a quarter to when results are released publicly.

Such periods are intended to guard against the appearance of insider trading, a practice where executives use nonpublic knowledge of the company’s performance to make trades before sharing it with the wider market. In a 2020 survey by Deloitte, 98% of companies reported having blackout periods prohibiting trades by top officers around quarterly disclosures.

“At best, it suggests the company has weak internal control over the trading of their officers,” said Daniel Taylor, an accounting professor who runs the Forensic Analytics Lab at the University of Pennsylvania’s Wharton School.

The trading patterns exhibited by the Lordstown Motors officers in February, as well as other stock sales they executed in December, also stand out in another way, the lawyers and accountants say.

The size of the stakes sold by some executives within months of the company going public are unusual, potentially signaling to investors a lack of confidence in the young company’s future performance, they say.

The startup’s operations have been under intense scrutiny in recent months, following a March report by short seller Hindenburg Research that accused the company of misleading investors and promoting fictitious preorders for its forthcoming truck.

The special committee acknowledged that some of the company’s statements about the preorders were inaccurate in certain respects but called the Hindenburg report’s other claims false and misleading, the company said.

The company’s practices have drawn the attention of the Securities and Exchange Commission, which has issued two subpoenas related to its merger and public statements, the company has disclosed. Lordstown Motors has said it is cooperating with the investigation.

Earlier this month Lordstown Motors stunned investors, amending its first annual statement to include a warning that it lacked the funds to begin production and might not be able to continue as a going concern.

Both its chief executive officer and its finance chief stepped down last week, the company said. Its stock peaked in mid-February at about $30.75 a share and has slid in recent months as challenges have piled up for the company. On Monday, the stock fell about 5.5% to $10.07. Shares are down about 50% for the year.

The early February trades by the five executives all occurred when the stock was trading at more than $24 a share, company filings show. Similarly, they were executed as news was beginning to spread that a prototype of its first electric-truck model caught fire 10 minutes into a road test in mid-January.

FT : Endeavor’s Ari Emanuel left Live Nation board after antitrust concerns, US

Endeavor’s Ari Emanuel left Live Nation board after antitrust concerns, US says
Entertainment group’s president also resigned seat on board at events promoter

Endeavor chief executive Ari Emanuel, and Mark Shapiro, the entertainment group’s president, resigned their seats on the board of Live Nation after a warning from the US justice department about an often-overlooked provision of antitrust law.

On Monday, the US justice department said it raised concerns about the executives’ board seats because Endeavor and Live Nation compete closely in sports and entertainment markets. Both companies sell tickets and did not qualify for certain antitrust safe harbours.

“Executives are not permitted to hold board positions on companies that compete with each other,” said Richard Powers, the justice department’s acting assistant attorney-general for antitrust. “The division will enforce the antitrust laws to make sure that all companies compete on the merits.” 

On June 3, Live Nation said Emanuel was resigning from its board, but gave no indication of any pressure from the justice department. Shapiro was re-elected to the board earlier this month and was still listed as a member on Live Nation’s website as of Monday. 

The move is the latest signal of how the Biden administration is increasing corporate antitrust enforcement. The law cited by the justice department, Section 8 of the 1914 Clayton Act, says someone cannot serve as an officer or director at two competing companies. It was often underenforced, antitrust lawyers said.

The last big case came in 2009 when the Federal Trade Commission investigated the board ties between Apple and Google. It was also an issue in the 2016 merger of brokers Tullett Prebon and ICAP.

Section 8 had been “mostly forgotten” and could become a problem for tech companies in the months ahead, as determining who was a competitor in the sector changes rapidly, law firm Skadden Arps said in a June 16 advisory. 

“Section 8 comes up on occasion,” but “it is not a frequent topic of antitrust discussion,” said Timothy Cornell, head of the US antitrust practice at Clifford Chance. He said he did not foresee a flurry of Section 8 enforcement actions ahead.

Still, “increased antitrust enforcement is on the horizon”, Cornell said, especially if the agencies were able to increase their resources through congressional budget appropriations.

President Joe Biden has selected 32-year-old Lina Khan, a critic of large tech companies, to head the Federal Trade Commission. Tim Wu, a prominent critic of Big Tech groups, joined the White House in March as an adviser on competition policy, a move that signalled to Silicon Valley that Biden hoped to tame America’s most valuable companies.