Big Tech brings big profits, but also big concerns and new and big challenges for regulators

The final report should be between 1250 and 1500 words (not including the bibliography).

You are required to submit a report that examines the ability of Big Tech companies to amass such profits and returns highlighted in article one, applying traditional economic analysis to explain how this is possible. Consideration should be given to the relevance of a traditional approach to some of the big tech companies. Your investigation should consider the sources of market power enabling such market dominance, and how this is manifested in the anti-competitive practices attracting attention of regulators. Attention should be paid to how some firms dominate advertising revenues. You will be expected to give a considered evaluation of the case for and against regulation and what type of measures might be taken. It is vital that you use relevant economic theory and analysis in your report.

You are advised to structure your report in such a way as to be able to cover the following:

 Explain briefly the possible sources of monopoly power for big tech companies, considering the differences in the way different companies of earn their revenue.

 Identify and explain the extent that traditional economic theory for monopoly behaviour can only be applied only to some of the big tech companies.

 Analyse how some big tech companies present new challenges to understanding their behaviour and ways of regulating them.

 Identify and explain examples of Big Tech behaviour that might not be in the best interests of society and economic efficiency.

 Evaluate the case for and against government intervention in the Big Tech sector to promote economic efficiency and socially desirable outcomes