No details have been released by the Justice Department on the exact nature of the investigation. However, the Washington Post reports that the focus of the review seems to be on any agreements that may have been made between the companies to avoid recruiting employees from each other in a bid to maintain their market power unfairly. Such arrangements would stifle competition, violating anti-trust laws.
A similar report published by the New York Times cites "people with knowledge of the inquiry " as adding a few more details, mainly that Justice Department "has issued civil investigative demands, or formal requests for documents and information, to some of the companies involved."
Apple has recently become all too familiar with this type attention from the federal government. Just last month, the Federal Trade Commission started an inquiry to evaluate the ties between its boards of directors and that of Google's, which share two common Directors.
Googleâs CEO, Eric Schmidt, serves as a Director on Appleâs Board. The former CEO of Genentech, Arthur Levinson, serves as a Director on the Boards of both companies. This relationship between the two companies could be a violation of Section 8 of the Clayton Antitrust Act of 1914, according to regulators.
The Justice Department's inquiry into the hiring practices of some of Silicon Valleyâs biggest names is the latest move by the Obama administration to sniff out anti-competitive behavior in the technology sector, where the highly competitive, high-stakes market for top talent has seen some companies sue their rivals for poaching employees.
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I have heard of agreements like this before. There was one similar between the main oil field services companies. It seemed to fall apart, I don't know if through legal action.
The United States Justice Department has begun a review of the hiring practices of a number of Silicon Valley technology companies, including Apple, Yahoo, Google, and Genetech for possible anti-trust law violations.
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Watch out Silicon Valley and especially you Apple. You're favorite son's henchmen are coming for you. First the banking industry, then the Insurance industry, then the automobile industry now Silicon Valley and the Tech industry, who's next?
Is this the HOPE and Change you were expecting? Careful what you ask for, you just might get it.
Rodger
I will pre-empt the fanboys and state that this is a flat out attempt by Microsoft and its lobbyists' influence to prove that Apple, Yahoo, Google and Genetech and others are conspiring to put them out of business.
Microsoft is behind all the evil in the world.
Old news.
At least it has little to do with the tech that Apple is rolling out. That sense of "anti-competitive" behaviour has been thrown out a while ago by Judge Alsop and others. It's no longer an issue, really.
I still visit Windows-therapy sites like Neowin (where Stockholm-syndrome sufferers gather) and every time there is mention of greater government or EU oversight into MS' practices (namely, IE), I see these unfortunates whining and demanding that the EU and the US investigate Apple, regarding their ownership of OS X and inclusion of Safari. It's great for a laugh. Sometimes galactic ignorance provides plenty of comic relief.
Watch out Silicon Valley and especially you Apple. You're favorite son's henchmen are coming for you. First the banking industry, then the Insurance industry, then the automobile industry now Silicon Valley and the Tech industry, who's next?
Is this the HOPE and Change you were expecting? Careful what you ask for, you just might get it.
Rodger
Uh, what are you talking about? The first three industries basically bankrupted themselves in a fit of greed, and the government saved them from themselves, and you blame the government? Then you mention the tech industry, which is completely unrelated. And, by the way, the idea of anti-trust legislation is so that companies don't ruin industries, unless you think Microsoft pushing everyone around was the tech industry's golden age.