Tencent, a major player in the tech and entertainment sectors, has recently taken action by removing two directors from the board of Epic Games. This decision comes on the heels of a U.S. Department of Justice (DOJ) investigation focused on potential antitrust law violations.
In an official statement, the DOJ highlighted that the board members in question were in breach of Section 8 of the Clayton Act. This particular section of the law clearly bars any individual from holding director positions in two competing companies, which was exactly the case with Epic and Tencent.
Following the investigation’s conclusions, Tencent decided to revise its shareholder agreement with Epic Games. Crucially, they have relinquished their right to appoint members to Epic’s board, marking a significant shift in their involvement with the creators of Fortnite.
Miriam R. Vishio, who serves as the deputy director of civil enforcement at the DOJ’s antitrust division, commented on the situation. She noted, “Examining interlocking directorates remains a top priority for the Antitrust Division. We’ve seen substantial results from our zealous enforcement of Section 8 over recent years, which is now a fundamental aspect of our operations.”
This development underscores the ongoing vigilance and efforts by regulatory bodies to curb potential antitrust issues in the rapidly evolving tech and gaming landscapes.
