‘This should never have happened’: lawmakers condemn Facebook’s Instagram acquisition – as it happened
Jerry Nadler unimpressed with Mark Zuckerberg's answer on Instagram deal, while Amazon boss Jeff Bezos accused of hypocrisy
12.03am BST
Antitrust Hearings, a summary
More than five hours after they commenced, the historic hearings of the biggest tech companies in the world over antitrust concerns have come to an end. Here are some highlights from the long day:
11.44pm BST
Whew boy, we are done! The hearing closed with a powerful statement from Rep. Cicilline on his conclusions from the antitrust investigations.
These companies, as they exist today, have monopoly power," he said. This must end."
11.37pm BST
Here is a video of the emotional testimony played in today's antitrust hearing, in which a book seller explains how her small business was throttled by Amazon.
11.33pm BST
Representative Jayapal has some pointed questions for Pichai about Google's dominance in the advertising space. She laid out the data showing Google controls up to 90% of the market.
The problem is that Google controls all of these entities, so it's running the marketplace," she said. It's acting on the buy side and the sell side at the same time, which is a major conflict of interest."
11.26pm BST
In another bizarre diatribe suggesting anti-conservative bias, Rep. Jordan said many people are experiencing a cancel culture" mob online in which they are canceled" or intensely criticized for their beliefs.
He cited the resignation of writer Bari Weiss from the New York Times over her views on the topic.
11.02pm BST
Representative Gaetz keeps asking pointed questions about perceived anti-conservative bias among tech companies.
Astonishing to watch Bezos cave to Rep Gaetz's line of questioning on the SPLC.
10.49pm BST
Representative Greg Steube asked each executive to answer whether they believe China steals technology from US firms. Answers varied.
The CEOs of Apple, Google, Facebook and Amazon were just asked if they believe China steals technology from U.S. firms.
Cook: We haven't experienced it.
Pichai: Neither have we.
Zuckerberg: Yes, absolutely.
Bezos: I've read that. pic.twitter.com/vbG2K1Dhq8
10.46pm BST
Representative Cicilline goes head to head with Zuckerberg over Facebook's handling of hate speech and misinformation.
He said Facebook's dominance is not just harmful to our economy and competition but it's harmful to the founding principles of our democracy" because of these issues.
Rep. Cicilline: Facebook is profiting off fake news
Zuckerberg: No, people don't want to see fake news.
Cicilline: Okay, how do you explain that the second most popular post on FB was a Breitbart video claiming that you don't need a mask and that hydroxychloroquine cures COVID? pic.twitter.com/0zztVFR73q
10.25pm BST
Representative Lucy McBath of Georgia asks Tim Cook whether Apple has the power to exclude apps from the App Store.
She shows the examples of Apple's proprietary Screen Time apps overtaking parental control apps in the app store. When the app was introduced, Apple removed a number of competitors on the app store due to alleged privacy violations.
Our evidence suggests that your company has used its power to harm your rivals and boost your own business. This is fundamentally unfair harms small businesses that rely on you to reach customers and stifles innovation. that is the lifeblood of our economy, ultimately, reduces the competition and choices that are made available to consumers.
10.15pm BST
Representative Gaetz is back with another line of questioning insinuating anti-conservative bias from Facebook.
Zuckerberg and Pichai seem especially flustered by GOP questions about allegations of anti-conservative bias, which makes me wonder if they prepared for this antitrust hearing on the mistaken assumption that it would actually be about the thing it is supposed to be about.
10.12pm BST
Representative Val Denings of Florida asks Zuckerberg about other ways Facebook has gone after large competitors.
She cited Facebook blocking Pinterest from using its technology to share content. Zuckerberg essentially admits to it - a key distinction in the antitrust debate.
Demings: Why did you restrict access to Facebook (API???) to Pinterest but not to Netflix?
Zuck: Pinterest was a social competitor to us.
Me: Oop. Discriminatory refusals to deal are illegal under the antitrust laws.
10.01pm BST
We are back after a brief recess.
Representative Kelly Armstrong of North Dakota asks Bezos about Digital Millennium Copyright Act (DMCA) complaints relating to music used on Twitch. It has been reported that Twitch users have been blindsided by requests to remove music from their videos.
Armstrong asks if Twitch has licenses for music and DMCA requests. Bezos clearly has no idea how Twitch works, asks to get back to him.
9.32pm BST
Hank Johnson of Georgia asks Bezos about counterfeit products on Amazon, saying the company tries to avoid responsibility for third party sellers on its platform while also putting the cost burden on these third parties to police the site.
Bezos said Amazon does a lot to prevent counterfeiting, and has invested hundreds of millions of dollars in systems to detect counterfit products.
9.22pm BST
Representative Jerry Nadler addresses the issues Facebook and Google have caused in the media industry.
Facebook and Google have greatly threatened journalism in the United States. Reporters have been fired, local newspapers have been shut down," he said. This is a very dangerous situation."
9.12pm BST
Representative Jamie Raskin of Maryland goes in on Bezos over Amazon's market share in the smart home space, specifically given the ubiquity of its smart speaker Alexa.
He said Alexa is often heavily discounted and suggests it is pushed on consumers as a means to continue pushing Amazon products long term. Raskin notes that when he asks Alexa to buy batteries, the assistant first suggests Amazon-brand batteries. Raskin asks: Alexa trained to favor Amazon products?
8.57pm BST
Representative Jayapalreturns to intensive questioning of Zuckerberg over anticompetitive practices including acquiring competitors or threatening them.
She cited Instagram's acquisition as an example, reading evidence gathered that Instagram founder Kevin Systrom said he was afraid of Zuckerberg and how Facebook would respond if he declined to sell the platform. Jayapal's closing comment was a zinger:
Facebook is a case study, in my opinion, in monopoly power. Because your company harvests and monetizes our data, then your company uses that data to spy on competitors and to copy, acquire, and kill rivals. You've used Facebook's power to threaten smaller competitors and to ensure that you always get your way. Facebook's very model makes it impossible for new companies to flourish separately, and that harms our democracy, it has harms mom and pop businesses and it harms consumers.
8.45pm BST
Representative Lucy McBath of Georgia in her questioning played a recording from a book seller who sold books on Amazon and felt her sales were throttled by Amazon. In the recording, she pleads with Bezos to help her company.
The oral testimony from Amazon sellers about how Amazon's marketplace practices are hurting their livelihoods is very powerful.
What I'm loving here is that members of Congress are giving voice to the small businesses that Amazon bullies. @RepCicilline is flipping the power dynamic and it's so... American. Land of the free.#BigTechBarons #BigTechHearing
The most damning counter to Bezos' argument that Amazon treats third-party sellers well is that there's an entire, (quite large!!!) consulting industry that exists just to help sellers navigate Amazon's *own confusing rules and infrastructure* https://t.co/EywMAl1ARd
8.39pm BST
RepresentativeJoe Neguseasks Zuckerberg about Facebook's acquisitions of other companies and competitors, citing the purchases of Instagram and Whatsapp as examples.
He asked Zuckerberg about an email he sent that was discovered in the investigation, in which Zuckerberg wrote: I can just buy any competitive startup - but it'll be a while before we can buy Google."
8.33pm BST
A verbal scuffle breaks out on the floor when Representative Mary Gay Scanlonopened her questioning with a sharp criticism of Steube and other Republicans.
I'd like to redirect your attention to antitrust law rather than fringe conspiracy theories," she said.
8.29pm BST
In a strange exchange, yet another congress member has targeted the tech executives over supposed anti-conservative bias.
Representative Greg Steube asked Sundar Pichai why his campaign emails are being sorted into the Spam inbox on his parents' Gmail accounts. He claimed it was an anti-conservative conspiracy.
Sundar explaining why certain emails aren't being delivered and going into spam is all of us explaining technology to our parents.
8.14pm BST
Upon return from the recess, finally a question for Bezos. Rep. Pramila Jayapal asks if Amazon accesses data from third parties to sell its own brands, asking Bezos for a yes or no" answer.
Bezos gives a rambling response, declining to deny or confirm the allegation.
8.04pm BST
Another flashpoint in the first hours of the hearing - and one that arguably does not have to do with antitrust - was questions from Matt Gaetz of Florida regarding whether Google will continue to work with police despite backlash.
Pichai said Google has no plans to end police contracts. Congressman, we are committed to continuing to work with law enforcement," he said.
8.01pm BST
The hearing calls a ten minute recess to address technical issues - apparently related to Amazon's feed. Maybe that's why Bezos hasn't been asked much yet.
Classic "I can't hear you, I'm driving into a bad service area" avoidance tactic https://t.co/A9SqmmSUh6
8.00pm BST
Now Zuckerberg is being asked about the Cambridge Analytica scandal and hate speech on the platform.
mr zuckerberg do you feel bad for rigging the 2016 election
7.55pm BST
Apple CEO Tim Cook is addressed by Representative Hank Johnson of Georgia, who asks how Apple can so closely control its App Store without participating in anti-competitive behavior.
He said during the antitrust investigation Congress members heard concerns that rules governing the App Store review process are not available to the app developers.
7.49pm BST
In the first few hours of testimony, Jeff Bezos has not yet been asked a single question. Poor Jeff!
Jeff Bezos hasn't been asked a single question by Congress yet, so the world's richest man is having a snack... pic.twitter.com/zMZ4iEuHyY
7.47pm BST
Rep. Ken Buck of Colorado opens his questioning with a grand statement: Capitalism is the greatest tool for freedom the world has ever seen," he says, apropos of nothing.
He then criticizes Google for withdrawing from a $10bn Pentagon contract because it does not align" with Google's values while working on government projects in China, like the controversial project Dragonfly- a search engine that would work with the Chinese government.
7.33pm BST
Representative Jerry Nadler of New York is next in line to question the executives. He zeros in on Facebook's history of acquiring competitors or stealing their ideas, referencing internal documents that revealed Facebook bought Instagram to neutralize it as a competitive threat.
If so, the deal was illegal under antitrust laws and should be unwoven, legislators have argued.
7.22pm BST
Representative Sensenbrenner launches again into his concerns about anti-conservative bias on social platforms, asking Zuckerberg why conservatives are censored" on Facebook.
Conservatives are consumers too," he said.
7.07pm BST
Cicilline starts by assailing Alphabet chief executive officer Sundar Pichai with accusations of anticompetitive behavior from Google.
So my first question, Mr. Pichai, is why does Google steal content from honest businesses?" Ciccilline said.
7.00pm BST
Finally Mark Zuckerberg provides his opening statement, attempting to set Facebook apart from the other companies on the stand today.
He said acquiring other companies like Instagram is not monopoly behavior.
6.57pm BST
Tim Cook up next, arguing Apple does not have a dominant market share" in any market where it does business. He addresses recent criticism that the rules surrounding Apple's App Store unfairly charges companies to list apps.
After beginning with 500 apps, today the App Store hosts more than 1.7 million - only 60 of which are Apple software," Cook's he said. Clearly, if Apple is a gatekeeper, what we have done is open the gate wider. We want to get every app we can on the store, not keep them off."
6.55pm BST
Sundar Pichai of Alphabet is up next. He highlighted free tools used by teachers during the pandemic and said this would not be possible without the long tradition of American innovation".
WATCH: @Google CEO Sundar Pichai opening statement
Full video here: https://t.co/CNTNmIDxiY pic.twitter.com/1GuN3ogJEb
6.51pm BST
Following a tussle between Jordan and Cicilline, the tech executives were sworn in via video chat before giving their testimonies.
Amazon CEO Jeff Bezos, Apple CEO Tim Cook, Facebook CEO Mark Zuckerberg, and Google CEO Sundar Pichai are all sworn in before testifying in front of the House Antitrust Subcommittee. #BigTech #HouseHearings pic.twitter.com/q1KD0xVoLF
6.41pm BST
Republican Jim Jordan of Ohio launched into a tirade about alleged discrimination of technology platforms against conservatives.
I'll just cut to the chase, Big Tech is out to get conservatives - that is a suspicion, not a hunch," he said, before listing alleged examples of anti-conservative bias on social media platforms, including the removal of right wing news website Breitbart, donations from Google employees to then presidential candidate Hillary Clinton in 2016, and Twitter removing posts from Donald Trump calling for violence against protestors.
6.22pm BST
Now Republican representative Jim Sensenbrenner of Wisconsin is providing additional opening statements. He echoed many of Cicilline's sentiments, saying the pandemic has underscored Americans' reliance on these tech companies and with that dominance comes increased scrutiny".
He also put forward claims often repeated by Republican lawmakers - including Donald Trump - that big tech has an anti-conservative bias. Sensenbrenner said he is concerned market dominance in the digital space is ripe for abuse, particularly when it comes to free speech."
6.16pm BST
Cicilline continues with opening statements, laying into the four tech companies named in today's hearings with intensive criticism.
He said they bottleneck for a key channel of distribution," use control over digital infrastructure to surveil other companies" and abuse control over current technologies to extend their power."
6.10pm BST
And we're off! The hearing has started as of 1.10 pm EST.
House antitrust chair David Cicilline kicks off the hearing explaining the intensive antitrust investigations and information gathering that leading up to the hearing, stressing that the effort has been bipartisan from the beginning."
5.49pm BST
The CEOs will be appearing" in Congress today remotely, using Cisco's Webex videoconferencing platform, according to the New York Times.
Three of the four companies represented on Wednesday - Apple, Facebook, and Google - have their own video-calling software, none of which will be used in the hearing.
5.40pm BST
Donald Trump tweeted ahead of the hearing on Wednesday threatening to take action if Congress doesn't bring fairness" to big tech.
If Congress doesn't bring fairness to Big Tech, which they should have done years ago, I will do it myself with Executive Orders. In Washington, it has been ALL TALK and NO ACTION for years, and the people of our Country are sick and tired of it!
5.36pm BST
The hearing has been delayed until 1 pm EST/10 am PST.
5.03pm BST
Hello, Kari Paul here, ready to guide you through today's landmark antitrust hearing, in which Congress will grill top executives from Google, Apple, Amazon, and Facebook on their business practices.
Much of the testimony has been released in advance, so we know the main talking points of what the executives will be saying. Here's a quick summary.
Continue reading...