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Business
DOJ Sues Visa for Antitrust Violations Over Debit Processing Fees
The U.S. Department of Justice has sued Visa, accusing the payment giant of suppressing competition by imposing high fees and penalizing merchants who use alternative processors. Visa controls over 60% of U.S. debit transactions, collecting around $7 billion annually in fees. The lawsuit claims Visa’s dominance increases consumer prices as merchants pass on these costs. The case is part of the Biden administration’s effort to address rising consumer prices by targeting anti-competitive practices, though Visa denies the allegations and promises a strong legal defense.
Google Files EU Complaint Against Microsoft’s Cloud Practices
Google has filed a complaint with the European Commission, accusing Microsoft of using anti-competitive practices to lock customers into its Azure cloud platform. Google claims Microsoft charges a 400% mark-up for running Windows Server on rival cloud services while exempting Azure users from this fee. Additionally, customers using competitors’ platforms face delayed security updates. The complaint follows a 2023 study indicating European businesses pay up to €1 billion annually in Microsoft licensing penalties. Despite Microsoft settling similar issues with smaller cloud providers, Google insists only regulatory action can prevent Microsoft's dominance and ensure fair competition in the cloud market.
What We’re Reading
Creator Spotlight: Your guide to building an audience with world-class social media and newsletter content.
Marketing Machine: Become a better marketer.
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Tip of the Day
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