Comment by reactordev
10 days ago
What’s the point of regulations when you’re being bent over by US Tech? You can’t say there’s regulations and then give it all to a monopoly…
10 days ago
What’s the point of regulations when you’re being bent over by US Tech? You can’t say there’s regulations and then give it all to a monopoly…
> You can’t say there’s regulations and then give it all to a monopoly…
Why? These are very closely intersecting things. It is very convenient for government to regulate and force monopolies to do what the government needs. And vice versa, strong regulation allows monopolies to avoid the emergence of new competitors. Win-win.
A lot of this is legacy holdovers from the Biden era.
Both the US, the EU, and the rest of the OECD began the process of aligning digital services taxation and regulation [0][1] under the Biden admin, as it was also a fig leaf tossed at the EU by the US to prevent a potential trade war with the EU [2] due to the IRA and CHIPS act.
The US has now removed itself from this OECD initiative, and most other major markets have begun to as well either due to US pressure or their own self interest. It also played a role in reducing Biden/Harris' chances in 2024, as much of the Obama era tech coalition shifted support and donations to the Trump-Vance campaign due to their support for repealing and fighting against digital services taxes globally.
The US also removed it's gloves when negotiating with the EU this admin compared to previous admins, so dangling the threat of retaliatory measures is not well received and can elicite a quasi-hard power response.
[0] - https://www.eiu.com/n/the-oecd-global-tax-deal-still-hangs-i...
[1] - https://www.oecd.org/en/topics/sub-issues/reallocation-of-ta...
[2] - https://www.nytimes.com/2022/12/06/business/dealbook/biden-c...