What You Should Know:
– During a visit to Wisconsin focused on corporate consolidation in the grocery industry, Federal Trade Commission (FTC) Chairwoman Lina Khan addressed questions about potential FTC involvement in an antitrust lawsuit against Verona-based Epic Systems, WKOW first reports.
– Khan’s visit included a listening session in Baraboo and a press conference alongside Rep. Mark Pocan (D-Black Earth) to address concerns about corporate consolidation in the grocery store industry. The FTC, under Khan’s leadership, has taken a more aggressive approach to enforcing antitrust laws and promoting competitive markets, especially in sectors critical to consumers like healthcare and retail.
Particle Health v. Epic Lawsuit
Last month, Particle Health, a healthcare data startup, filed a lawsuit accusing Epic Systems of leveraging its market dominance to stifle competition. Particle alleges that Epic, which controls a vast majority of EHR systems in the US, unfairly blocked Particle’s access to patient data, hindering their ability to provide services like insurance claim processing and record analysis. Epic claims its actions were motivated by concerns over patient privacy violations, arguing that Particle’s handling of health records violated key privacy laws.
FTC’s Potential Role
When asked whether the FTC would become involved in enforcing antitrust laws in the Epic case, Khan acknowledged hearing concerns from entrepreneurs and startups about barriers to entering the healthcare sector due to large incumbents like Epic. She specifically noted that companies wielding significant control over data can pose risks beyond simply limiting competition, potentially leaving systems vulnerable to cyberattacks and other disruptions. However, she noted that the current litigation was brought by a private company, and the FTC had not yet intervened.
“We’re not involved in that litigation, which is brought by a private company, but it’s actually something I had heard concerns about, especially among entrepreneurs and startups that were trying to enter the healthcare space,” Khan said.
Khan indicated that the FTC could participate in the lawsuit by filing an amicus brief, which would provide the court with the agency’s expert interpretation of the law. This suggests the FTC is closely monitoring the case and may choose to intervene if it believes Epic’s actions violate antitrust regulations. Khan stated it was “too early” to say whether the FTC would submit such a brief in the lawsuit between Particle and Epic.
Khan’s Approach to Antitrust:
Known for her aggressive and progressive stance on antitrust matters, Khan has challenged mergers and pushed for pro-worker regulations during her tenure. This approach has garnered both strong support and opposition, with some wealthy Democratic donors reportedly favoring her replacement should Vice President Kamala Harris win the presidency.