FedFin Assessment: The Financial-Services Impact of Tech-Platform Reform
Last week, the House Judiciary Antitrust Subcommittee released a lengthy, high-impact Democratic report calling for structural changes to the nation’s biggest tech-platform companies.  Here, we assess the implications of this Congressional report on BigTech’s financial-services and payment-system ambitions.  If carried forward in 2021 – and we think they will – several of the report’s proposals could pose significant obstacles to platform-company direct entry into financial services, up to and including Libra.  To the extent issues such as data rights and tying are addressed – and these are extensively considered in the Congressional report – numerous consumer issues we evaluated in a 2019 report may also be addressed with implications not only for tech-platform financial products, but also for the sector as a whole.