Elizabeth Warren demands regulators to investigate Big Tech’s incursion into the automotive industry

Elizabeth Warren is pushing for more federal oversight of Big Tech giants like Google, Apple, and Amazon as they expand into the automotive industry. In a letter, the Democratic senator expressed concerns about the potential implications of these companies leveraging their dominance in mobile and cloud computing to gain a stronghold in the automotive sector.

Warren specifically called out the companies for employing “all-or-nothing” bundling tactics, pointing to Google’s Android Automotive as an example. She argued that these tactics allow companies like Google to use their dominance in one area to gain market share in another. Warren drew parallels to past bundling controversies involving Big Tech, like the 2001 lawsuit against Microsoft.

Both Google and Amazon defended their practices, emphasizing the need for interoperability and consumer choice in the connected car space. However, Warren stressed the importance of fair competition in the automotive sector and urged the FTC and DOJ to take action before it’s too late.

The current market dynamics have been shaped by a history of dissatisfaction with first-party infotainment systems from car companies, leading to the popularity of platforms like CarPlay and Android Auto. Warren believes that now is the time to prevent Big Tech from stifling competition in the automotive industry.