“It’s time to go back to our roots and break” Big Tech to “oxygenate the market,” says New York University marketing professor Scott Galloway.
“The market is beginning to collectively recognize that when all the loot is concentrated in an ever-smaller number of companies, it becomes an unhealthy ecosystem and economy,” Galloway told Yahoo Finance’s On The Move.
On Friday, Apple (AAPL) and Facebook (FB) shares hit new highs, while Amazon (AMZN) soared more than 4% after the quarters despite the ongoing pandemic.
Amazon posted record profit when people shopped at home during the COVID-19 outbreak.
“The first conclusion is that it’s great to be an unregulated monopoly in a pandemic,” said Galloway.
“These companies in the first 15 minutes published the market close yesterday, published the earnings announcement. added the value of AT&T (T) Twitter (TWTR) and Pinterest (PINS), “said Galloway.
“And yet, according to Mark Zuckerberg, there are competitors attacking him from everywhere,” he added.
The staggering gains came just a day after CEOs of Amazon, Apple, Facebook and Alphabet (GOOGL) testified before lawmakers during a 5-hour antitrust hearing.
Facebook CEO Mark Zuckerberg argued why the social media platform is not an illegal monopoly and is actually behind its competition.
“After seeing the hearings, I thought again, this is the beginning of the end of great technology as we know it,” Galloway said.
“And I think we have to go from a construction to believing that it is some kind of punishment or that they have done something wrong,” he added.
“I think the United States has a proud antitrust legacy when a company becomes so powerful that it begins to cut off the oxygen of one sector and the rest of the economy. We go in and oxygenate the economy by breaking that company, ”he said.
“By the way, as a shareholder in Amazon and Apple, I think the value of my shares increases once they announce that they are separating,” he said. “I think AWS will be the most valuable company in the world as an independent company in 3-4 years.”
E-commerce giant Amazon Web Services’ cloud business grew 29% year-over-year.
“I think this is the beginning of the end, even if Trump is reelected. I think there will be some action if Biden is chosen, he will go faster. But we are way behind here to … oxygenate the market. “
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