Tencent removes Epic Games directors after US probe.

Tencent Removes Epic Games Directors Following US Antitrust Investigation

Tencent has removed two directors from Epic Games’ board following a US Justice Department antitrust investigation. The government raised concerns about Tencent holding director positions on Epic’s board while simultaneously being the parent company of competitor Riot Games.

Violation of the Clayton Act

The Justice Department stated that this dual board membership violated Section 8 of the Clayton Act, a law protecting consumers from potentially harmful business practices. A statement from the department highlighted that scrutiny of interlocking directorates remains a key enforcement priority. The deputy director of civil enforcement, Miriam R. Vishio, emphasized the significant results achieved through increased enforcement of Section 8 in recent years.

Ongoing Ubisoft-Tencent Discussions

This news follows recent reports of ongoing discussions between Ubisoft and Tencent regarding a potential buyout that would take Ubisoft private.

Key Takeaways:

• Tencent removed directors from Epic Games’ board.
• The action followed a US Justice Department antitrust investigation.
• The move addresses concerns about potential Clayton Act violations.
• Increased scrutiny of interlocking directorates continues.