Top US Antitrust Official Steps Down
Gail Slater, the top antitrust official in the Trump administration, has resigned from her post at the Department of Justice. Her departure follows reported tensions over high-profile merger disputes, including settlement talks involving Live Nation, signaling continued regulatory uncertainty for large-scale M&A.
- The departure followed significant friction over the $14 billion merger of Hewlett Packard Enterprise and Juniper Networks. Slater sought to block the deal, but was overruled by senior Justice Department officials who pushed through a settlement, leading to the removal of two of her senior deputies last summer. - Tensions existed for months between Slater and Attorney General Pam Bondi, who reportedly felt Slater was not business-friendly enough and was slow to process merger investigations. Bondi also accused Slater of misrepresenting national security concerns related to the HPE-Juniper deal and cancelled her government credit card after an unapproved trip to a conference in Paris. - Omeed A. Assefi, a deputy overseeing criminal enforcement, will lead the division on an interim basis. Assefi previously served as acting head of the antitrust division and is reportedly close to allies of Attorney General Bondi, suggesting a continuation of an enforcement policy more open to settlements. - Slater's exit immediately impacted TMT sector stocks; shares in Live Nation Entertainment, which is facing a major antitrust lawsuit from the DOJ, rose 2.5% on the news of her departure. Lobbyists for Live Nation had reportedly been negotiating with senior DOJ officials outside of the antitrust division to settle the case. - The conflict highlights a broader shift in antitrust philosophy under the second Trump administration, which has been more willing to accept structural remedies, like divestitures, to resolve M&A concerns, in contrast to the Biden administration's preference to litigate to block deals. - The leadership change introduces new uncertainty for major pending TMT transactions, including the potential acquisition of Warner Bros. Discovery, for which Netflix and Paramount are reportedly competing. - Slater's ouster was praised by conservative activists who had been paid by Hewlett Packard Enterprise to help push through the Juniper merger she opposed. Her former top deputy, Roger Alford, has publicly stated that antitrust decisions are now being resolved based on "political connections, not the legal merits." - Despite the contentious exit, Slater was initially a widely supported appointee, confirmed by the Senate with broad bipartisan support in a 78-19 vote.
