Tencent, the massive force behind both tech and entertainment in China, has recently pulled two of its directors from Epic Games’ board. This move comes as a reaction to an antitrust investigation spearheaded by the U.S. Department of Justice (DOJ).
The DOJ highlighted in a statement that these board members were found to be in violation of Section 8 of the Clayton Act. This particular legislation prevents an individual from serving as a director on the boards of two rival companies—in this scenario, Epic Games and Tencent were the firms involved.
Following the investigation’s conclusions, Tencent decided to revamp its shareholder agreement with Epic Games. A significant change here was relinquishing its authority to place directors on the board of the company known for creating Fortnite.
Commenting on the situation, Miriam R. Vishio, serving as the deputy director of civil enforcement at the DOJ’s antitrust division, noted the heightened attention paid to interlocking directorates. She pointed out that enforcing this aspect of antitrust law remains a key priority for them.
“Our diligent efforts over the past few years have paid off,” Vishio remarked. “The enforcement of Section 8 has seen impressive success thanks to our exceptional team, and this has now become integral to our approach.”
