Letter To FTC Regarding Anticompetitive Actions In Online Gaming
Washington DC- Today, the Bull Moose Project sent a letter to all FTC Chairwoman Lina Khan asking her to investigate DraftKings and FanDuel and pursue any remedies to protect competition in online gaming. Both companies are actively lobbying state legislatures and regulators to write laws that squash competition.
The letter reads:
The Federal Trade Commission is familiar with the anti-competitive tendencies of these firms, having blocked the attempted merger of DraftKings and FanDuel in 2017—a deal that would have produced a blatant monopoly. Yet, your agency knows well that blocking mergers alone isn’t enough to curtail anti-competitive behavior or dissuade firms from such activity. Through investigations into shared board seats, “partnerships” between Big Tech firms and artificial intelligence startups, and other probes, the FTC is expanding the scope of U.S. antitrust enforcement that had myopically focused on price and market share for decades.
We support these efforts and urge the agency to apply this comprehensive and modern approach to antitrust to an examination of online gaming.
DraftKings and FanDuel are currently lobbying for legislation and regulation that effectively bans smaller firms from competing in online gaming, particularly in the burgeoning DailyFantasy Sports arena. Ironically, it was less than a decade ago that the two betting giants were fighting to enter the gaming market dominated by the casino giants of Las Vegas. They successfully weathered the storm and convinced state legislators in over 40 states to legitimize fantasy sports. Now, these firms seek to change the law to crush new competitors who meet the exact legal qualifications for which DraftKings and FanDuel previously lobbied. While this conduct is legally protected, it evinces a clear intent to avoid competition on the merits.
To view the full letter, please click here
###
