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CMA chair to be replaced by former Amazon boss
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Government wants regulators to focus on growth
(Adds details throughout, reaction)
By Paul Sandle
DAVOS, Switzerland, Jan 22 (Reuters) - Britain forced
out the chair of its antitrust regulator after he failed to
prioritise its growth agenda, replacing him with a former Amazon
boss, in a signal the UK's attempt to rein in big tech could be
over.
Marcus Bokkerink was replaced at the Competition and
Markets Authority late on Tuesday by Amazon's ( AMZN ) former boss in
Britain, Doug Gurr, on an interim basis, the government said.
Finance minister Rachel Reeves said the government needed
someone who shared its "strategic direction".
"He recognised it was time for him to move on and make way
for somebody who does share the mission and the strategic
direction that this government are taking," she told a Bloomberg
event at the World Economic Forum's annual meeting in Davos.
Britain's Labour government, under pressure to reignite the
economy after years of sluggish output, has said it wants
regulators to focus on growth, raising the prospect that it
could favour the biggest and most established companies.
Bokkerink's removal came a day after Donald Trump returned
to the White House, vowing to cut regulation on sectors
including tech as it races to develop Artificial Intelligence.
Some have questioned whether an easing of competition rules
does promote growth however.
Bokkerink said on LinkedIn that the regulator had a duty to
promote competition for the benefit of consumers, and that
markets should not be held back "by a few powerful incumbents
setting the rules for everyone else".
The CMA's chief executive, Sarah Cardell, said Bokkerink had
"tirelessly championed consumers, competition and a level
playing field for business".
Reeves had ordered the CMA and other British regulators to
"tear down the barriers hindering businesses and refocus their
efforts on promoting growth" in a meeting with regulatory bosses
last week.
The CMA's last clash with a U.S. tech giant was over
Microsoft's ( MSFT ) $69 billion acquisition of "Call of Duty" maker
Activision Blizzard in 2023, and the regulator came off worse.
It blocked the deal but then tore up its own rule book to
approve the case following a furious reaction from Microsoft ( MSFT )
bosses who lobbied the government at the highest level.
SUPERCHARGING GROWTH
After being singled out by Prime Minister Keir Starmer for
holding back growth, the CMA said in November that it would
focus on "truly problematic mergers" and rethink its approach to
allow more deals to go ahead.
Business Secretary Jonathan Reynolds, in announcing the
change at the top of the regulator, said he wanted to go
further, and see the CMA "supercharging the economy with
pro-business decisions that will drive prosperity and growth,
putting more money in people's pockets".
He said Gurr would bring a "wealth of experience" in the
technology sector to the CMA.
Gurr's appointment comes after the regulator stepped up its
scrutiny of Big Tech by establishing its Digital Markets Unit.
The unit, which gained new powers this month, is tasked with
ensuring that the biggest tech companies, such as Amazon
, Google, Meta, Apple ( AAPL ) and
Microsoft ( MSFT ), do not abuse their dominant market
positions.
Amazon, under Gurr's leadership, was investigated by the CMA
over its stake in food delivery company Deliveroo. The regulator
cleared the investment in 2020.
(Additional reporting by Muvija M in London, writing by Paul
Sandle in London, Editing by Kate Holton and Christina Fincher)