Visa Acquiring Plaid: A Tartan Over a Killer Acquisition? Reflections on the Risks of Harming Competition Through the Acquisition of Startups Within Digital Ecosystems

23 Pages Posted: 3 Feb 2021 Last revised: 10 Mar 2021

See all articles by Frédéric M. Marty

Frédéric M. Marty

Research Group on Law, Economics and Management (UMR CNRS 7321 GREDEG) / Université Nice Sophia Antipolis; OFCE; Center for Interuniversity Research and Analysis on Organization (CIRANO)

Thierry Warin

HEC Montreal; CIRANO

Date Written: November 26, 2020

Abstract

The applicability of the notion of killer acquisition to digital platforms has long been debated. The case of the proceedings brought by the U.S. DoJ against Visa is even more interesting insofar as it makes it possible to illustrate and discuss its different facets ranging from the notion of competition suppression to that of consolidation and extension of the dominant position. The complaint analysis also makes it possible to question inter-digital ecosystem competition and shed light on the issues related to the monitoring of acquisitions undertaken by dominant companies in the sector.

Keywords: Mergers Control, Killer Acquisitions, Digital Ecosystems, Foreclosure, Damage to Innovation

JEL Classification: L12, L25, L41, L86

Suggested Citation

Marty, Frédéric M. and Warin, Thierry, Visa Acquiring Plaid: A Tartan Over a Killer Acquisition? Reflections on the Risks of Harming Competition Through the Acquisition of Startups Within Digital Ecosystems (November 26, 2020). Available at SSRN: https://ssrn.com/abstract=3738299 or http://dx.doi.org/10.2139/ssrn.3738299

Frédéric M. Marty (Contact Author)

Research Group on Law, Economics and Management (UMR CNRS 7321 GREDEG) / Université Nice Sophia Antipolis ( email )

250, rue Albert Einstein
Valbonne, 06560
France

HOME PAGE: http://hp.gredeg.cnrs.fr/marty/

OFCE ( email )

69 Quai d'Orsay
Paris 75004
France

Center for Interuniversity Research and Analysis on Organization (CIRANO) ( email )

2020 rue University, 25th floor
Montreal H3C 3J7, Quebec
Canada

Thierry Warin

HEC Montreal ( email )

3000, Chemin de la Côte-Sainte-Catherine
Montreal, Quebec H2X 2L3
Canada

CIRANO ( email )

2020 rue University, 25th floor
Montreal H3C 3J7, Quebec
Canada

HOME PAGE: http://works.bepress.com/warin/

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