Tencent, the notable powerhouse in technology and entertainment, has recently taken significant steps in response to a U.S. Department of Justice (DOJ) antitrust investigation. Specifically, they’ve removed two members from Epic Games’ board. This move follows the DOJ’s determination that these directors were in violation of Section 8 of the Clayton Act, which prohibits serving on the boards of two competing companies—here, Epic Games and Tencent.
In light of the investigation’s outcome, Tencent decided to revise its shareholder agreement with Epic Games. The most notable change is their decision to relinquish the right to appoint directors to Epic’s board, which is renowned for its development of Fortnite.
Miriam R. Vishio, the deputy director of civil enforcement at the DOJ’s antitrust division, highlighted the ongoing importance of overseeing interlocking directorates. She emphasized, “Our dedication to enforcing Section 8 has been unwavering, thanks to the hard work of our incredible team. The results we’ve seen over the past few years have been significant, integrating this enforcement as a crucial aspect of our operations.”
