The FTC under the Biden administration has been tough on big mergers and monopolies while favoring pro-worker policy changes, including a ban on noncompete agreements.
Will that change when Donald Trump takes office in January?
Ten things to know.
1. The Trump administration may reverse course on Mr. Biden's push to tighten scrutiny on mergers and acquisitions, according to Bloomberg Law. Under the Biden administration, the FTC aggressively enforced antitrust laws and several proposed hospital and health system mergers did not go through.
4. Under the second Trump administration, health systems may find it easier to grow. Bloomberg Law said the signals from Mr. Trump's team indicated a "far more favorable environment for companies considering mergers and acquisitions" than the last four years. Robin Adelstein, head of Norton Rose Fulbright's global antitrust practice, told Bloomberg Law there could be more large mergers attempted in the next four years.
5. A second Trump administration is expected to benefit deals already in the works, according to CNBC. When Mr. Trump takes office, experts expect corporate leaders and Wall Street dealmakers to pounce on new mergers and acquisitions. Jeffrey Solomon, president of TD Cown, said on Money Movers, "I think the regulatory environment will be much more conducive to economic growth. There will be lighter and targeted regulation."
2. It's unclear whether the second Trump administration will drop antitrust cases brought by the Biden administration. Typically, new administrations allow those cases to continue, according to Bloomberg Law, which include a monopoly suit against Amazon. But the Trump administration could halt them if he chooses.
3. The FTC's plans to ban worker noncompete contracts are now "in doubt," according to Bloomberg Law. The agency is already facing legal challenges to the ban in lower courts, and Republicans on the FTC oppose the rule.
6. High interest rates have stymied deals during the Biden administration, according to CNBC's analysis, but if interest rates drop and corporate tax rates lower, mergers and acquisitions are likely to increase.
7. During the first Trump administration, the volume of deals increased and hit a 20-year high in 2021. Over the last three years the volume and value of deals have dropped significantly from 15,600 deals valued at $2.79 trillion to 8,900 deals valued at $1.34 trillion this year, according to CNBC.
8. The pharmaceutical industry will likely see more deals under the new administration, according to CNBC's analysis. Pharmaceutical company executives see Mr. Trump's lack of antitrust enforcement and pro-competition approach as clearing the way for bigger deals, which have been challenged in the last few years.
9. During Mr. Trump's first term, the Department of Justice allowed big deals including Disney's purchase of Fox's assets. But it also tried to halt AT&T's acquisition of Time Warner.
10. Mr. Trump is likely to appoint a new FTC chair after taking office. Lina Khan, chair of the FTC, has carried out Mr. Biden's vision for stronger antitrust enforcement during his administration, according to The New York Times.