"Amazon Sniper" Immediately Reviews Amazon-MGM Acquisition Deal Upon Appointment

▲Lina Khan, Chair of the Federal Trade Commission (FTC) [Image source=EPA Yonhap News]

Asia Economy reporter Kwon Jae-hee] Amazon's plan to acquire Hollywood's major film studio MGM has hit a roadblock. This comes as Lina Khan, the Federal Trade Commission (FTC) chair known as the 'Amazon sniper,' is reportedly reviewing the Amazon-MGM acquisition deal as her first major case since taking office.

According to the Wall Street Journal (WSJ) on the 22nd (local time), the FTC, one of the two major U.S. antitrust regulators alongside the Department of Justice, is reviewing Amazon's MGM acquisition deal. Until now, the DOJ has investigated monopolistic practices by Google, Apple, Facebook, and Amazon, but going forward, the DOJ will handle Google and Apple, while the FTC will investigate Facebook and Amazon.

For Amazon, this means a sudden halt just as the final steps of the MGM acquisition are underway. This is due to Lina Khan, a Columbia Law School professor recently appointed as FTC chair. Known as the 'Amazon sniper,' Khan's 2017 law school thesis was titled "Amazon's Antitrust Paradox," reflecting her critical stance on the monopoly issues of big tech companies.

In her thesis, Khan argued that the traditional view?that a company monopolizing a market is not subject to antitrust regulation if it only affects product prices?is not suitable for companies like Amazon.

Additionally, last year, Khan worked with the House Judiciary Committee's antitrust subcommittee, participating in drafting a report criticizing Amazon, Apple, Facebook, and Google for abusing market dominance. The report included calls to regulate IT giants' acquisitions of emerging competitors who could be future rivals.

Considering Khan's stance, there is speculation that the FTC may put the brakes on Amazon's MGM acquisition.

The WSJ interpreted, "For critics in Washington D.C. who already believe Amazon holds too much influence, the Amazon-MGM acquisition deal will certainly be a subject of concern."

Meanwhile, Amazon had previously agreed to acquire MGM for $8.45 billion (approximately 9.5 trillion KRW).

This content was produced with the assistance of AI translation services.