Will Trump's Deregulation Boost Big Tech? The Truth May Surprise You

Wall Street broadly expects that a second Trump administration would relax regulations, potentially benefiting Big Tech. However, the reality is far more complex than it appears.

The three key figures shaping antitrust enforcement under Trump 2.0 — Gail Slater as DOJ antitrust chief, Andrew Ferguson, and Mark Meador for the Federal Trade Commission (FTC) — align with the "New Right" ideology, which takes a critical stance on corporate power. While their approach may differ from the Biden administration's trustbusters, they are likely to continue pursuing robust antitrust enforcement against Big Tech.

Andrew Ferguson: Balancing Deals and Big Tech Scrutiny

Andrew Ferguson, currently an FTC commissioner, is set to take over as Chair on January 20, 2025. While Ferguson has expressed intentions to roll back some of Lina Khan's aggressive rulemaking — including her bans on non-compete clauses and other corporate restrictions — his stance on Big Tech is firm.

In a memo outlining his priorities, Ferguson emphasized targeting deals that harm competition, while also taking on Big Tech for perceived censorship. He called for investigations into tech platforms for practices such as banning users and censoring content, reflecting Trump's previous criticisms during his first administration.

Paul Gallant from TD Cowen believes Ferguson's anti-Big Tech stance means the FTC is unlikely to soften its approach to major cases against companies like Meta, Amazon, and Microsoft. Despite Ferguson's pro-deal rhetoric, his policies are expected to maintain strong oversight over Big Tech, particularly in areas like generative AI investments.

Mark Meador: An Antitrust Veteran with a Conservative Edge

Mark Meador, a seasoned antitrust expert with experience at both the FTC and DOJ, is likely to advance Ferguson's agenda. Meador's expertise includes representing conservative social media platform Rumble in its legal battle against Alphabet's Google over alleged advertiser boycotts.

Meador has also advocated for revitalizing an FDR-era antitrust law targeting price discrimination against small retailers, signaling a focus on protecting competition across sectors. His history of litigation and policy work suggests he will bring a pragmatic yet aggressive approach to tech-related antitrust issues.

What Does This Mean for Big Tech?

While Trump's administration may shift priorities compared to Biden's, the fundamental stance on Big Tech remains critical. A deregulatory tilt may help smaller companies and non-tech mergers, but tech giants like Meta, Amazon, and Microsoft are likely to face continued scrutiny.

Rather than signaling an era of unbridled expansion for Big Tech, the Trump administration's appointments suggest a nuanced approach: pro-business policies in general but a tough stance on perceived abuses of power by major technology firms.