How does antitrust law apply to digital markets?

In South Dakota, antitrust law applies to digital markets in much the same way that it applies to standard, physical markets. The Sherman Act, which is the federal antitrust law, prohibits monopolies and other anticompetitive trade practices like price or market fixing. In digital markets, this means that companies should not enter into agreements or use tactics to prevent competition and reduce consumer choice. For instance, companies can’t enter into agreements not to compete (known as “no-poaching”) with other companies in the digital market, as this reduces choice and drives up prices. Companies can also be found in violation of antitrust law if they are found to be engaging in market fixing, such as setting minimum prices for digital goods or services, which stops buyers from being able to shop around for the best deal. Additionally, antitrust laws prohibit companies from being able to engage in mergers and acquisitions when the result is a monopoly or substantially reduces competition. In the digital market, this could be two companies joining forces to control a large portion of the market, or one company buying out all of its competitors. Overall, South Dakota antitrust law applies to the digital market in the same way it applies to physical markets. The goal of antitrust law is to ensure that consumers have a range of choices and competitive prices in the digital marketplace.

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How does antitrust law apply to digital markets?

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