Read the Federal Trade Commission's legal definition of a monopoly

Utility companies are often considered 'natural' monopolies, which occur in industries where the upfront costs of entering the market are high, making competition unrealistic.

An overview of monopolies, when one company controls an entire market

In the business world, a monopoly exists when one company controls the entire market. Regulators take issue with monopolies because they have been found to limit consumer choices, raise prices, and hurt competition.

In 2020, the US DOJ sued Google for unlawful monopolization of the search engine market

The US Department of Justice and numerous states accused Google of making exclusionary agreements with Android phone manufacturers to make its search engine the default on those devices, preventing competitors from gaining market share.

Modern antitrust law was created to combat the Standard Oil Trust

John D. Rockefeller's Standard Oil Trust enabled him to evade laws against a single corporation buying stock in another. His centralized board of directors held stock in many different oil companies under his control, allowing Rockefeller to eventually monopolize the oil refining industry. Efforts to regulate and prevent the Standard Oil Trust's monopoly became known as "antitrust" laws.

Market concentration and high markups don't always signal a monopoly

When regulators and economists evaluate whether a company constitutes an illegal monopoly, they often consider its overall market share or its relatively high price markups. This piece argues that the Olley-Pakes decomposition is a better measure, identifying whether customers within a market are switching to more productive companies.

Listen to a podcast that traces the history of DOJ antitrust enforcement

This podcast series traces how the US government's approach to regulating big business has changed over a century—from the DOJ's breakup of John D. Rockefeller's Standard Oil monopoly, through lawyer Robert Bork's influence on how courts interpret competition law, to the FTC's modern antitrust lawsuit against Amazon.

Read about the history of the Sherman Antitrust Act, the first law to ban monopolistic behavior

In its later years, Standard Oil formed a business trust that reflected the company's exponential growth. Politicians wanted to prevent such trusts and used the Sherman Antitrust Act to force Standard Oil to break up.

Monopolies are considered the most extreme form of imperfect competition

True monopolistic companies face no competition, meaning there aren't any near substitutes for the goods or services the company provides. Often, no competition exists because the monopoly is either approved by the government or the barrier to entry is costly.

In 2018, the Supreme Court sided with American Express in a case that significantly changed antitrust regulation.

The US Department of Justice sued Visa, Mastercard, and American Express in 2010 over alleged anticompetitive contracts with merchants. While Visa and Mastercard settled out of court, American Express went to trial and had its case taken all the way up to the Supreme Court—which ruled that both sides of a transaction business must be analyzed to determine a monopoly.

Watch how American monopolies used vertical and horizontal integration strategies to command markets

Vertical integration occurs when a company controls the entire manufacturing or development process, whereas horizontal integration involves expanding a company's market share. Both strategies have been used by US monopolies to establish dominance in markets.

A 'bilateral monopoly' occurs when there's one supplier and one buyer in a market

Bilateral monopolies are often used to conceptualize labor markets in small towns. Using this concept, large employers have a monopoly over the labor market, while workers have a monopsony as the only available laborers.

US federal law dictates that all ads must not be deceptive

It also dictates that all ads must be “not misleading, and, when appropriate, backed by scientific evidence.” However, enforcing these laws can be difficult given the massive number of ads that run all over America each day. This explainer on the subject from the FTC provides more information.

The Department of Justice is the nation's chief law enforcement and legal agency

Established in 1870, the US Department of Justice enforces federal law, safeguards civil rights, and represents the United States in court—serving as the central authority for federal prosecutions and legal advice across all executive agencies.

Explore a list of well-known monopolies

Many American monopolies popped up during the rapid industrial growth of the Gilded Age. Industries like steel, tobacco, railroads, and telecommunication have all been monopolized at some point in history.

Read a breakdown of the different financial and banking regulatory bodies in the US, including the SEC.

Search the official trademark database

The official trademark registry is managed by the United States Patent and Trademark Office. The registry shows the trademark's status, the owner, and the trademark's serial number.

Meta's acquisition strategy for Instagram and WhatsApp led to a 5-year-long antitrust lawsuit

In 2020, the Federal Trade Commission sued Meta as part of the agency's efforts to rein in big tech companies. The FTC alleged that Meta overpaid for Instagram and WhatsApp in a "buy or bury" strategy to gain access to those companies' talent and diminish competition. In 2025, a federal judge sided with Meta, citing intense change in the social media landscape.

Commodity trading is regulated by the CFTC to mitigate fraud and risk

Established in 1974, the CFTC regulates these markets (including swaps, futures, and certain types of options) to protect market participants from fraud, ensure fair trading conditions, and generally reduce financial risk.

Patents arguably grant inventors monopolies for a short period of time

As a way to reward innovation, the government grants short-term monopolies on patented products. Patents block other companies from producing or selling that product, giving inventors the rights and opportunity to establish themselves in a market before other competitors enter.

The commerce clause gives the federal government authority to regulate interstate economic activity

This short constitutional provision has allowed Congress to regulate everything from wheat production to racial segregation, greatly expanding federal power by linking national authority to interstate economic activity.

The DEA enforces federal drug laws under the Department of Justice

Established in 1973, the Drug Enforcement Administration directs federal efforts to fight illegal drug trafficking, oversee controlled substances, and dismantle large narcotics networks both within the United States and internationally.

Robber barons, the monopolistic business people of the 19th century, explained

“Robber baron” was a term used to describe 19th-century businesspeople who engaged in monopolistic business practices and didn’t face much business regulation, resulting in significant wealth.

Learn what constitutes trademark infringement

Infringement is a trademark violation that threatens the owner's exclusive right to use a trademark. The general standard for proving any trademark infringement is the likelihood of causing confusion to a normal consumer.

A 'monopsony' is a market with a single buyer—rather than a single supplier

A monopsony is the demand-side equivalent of a monopoly, where a single buyer commands a market. In a monopsony, the buyer has an outsized influence over the price of a product or service because they control most or all of the sales in that market.

An oligopoly is a market structure where a few large businesses dominate the entire market

When a few large companies dominate a market, changes in pricing for goods and services affect the entire market. Airlines are a common example of an oligopoly. Because the barrier to entry in the aviation industry is high, only a few airline companies offer the majority of the industry's services. While there is some competition, pricing across the board is largely intertwined and based on other companies' prices.

Learn about the bodies that govern the US commercial airline industry, such as the FAA

The Federal Aviation Administration (FAA) regulates US air travel, monitoring both safety and advancement. But despite deregulation in the 1970s, the industry has other governing bodies, too, including the US Department of Transportation and the TSA.

Trademarks are a form of consumer protection

Trademarks help brands distinguish their products from competitors, but they also give consumers clarity around the product they are buying and where it comes from. Distinguishable names help prevent consumer confusion and maintain a consumer's ability to choose their preferred product and brand.

The Department of Justice was formally established in 1870

Passed by Congress in 1870, the Act to Establish the Department of Justice centralized federal legal work under the attorney general, bringing together US attorneys and marshals into a single department.

The FBI is the largest agency within the Department of Justice

The Federal Bureau of Investigation is the DOJ's largest component, leading national efforts to fight terrorism, cybercrime, organized crime, and corruption. It has roughly 38,000 employees and functions as both a domestic intelligence agency and the federal government's main investigative body.

John Marshall advanced federal supremacy and judicial review

Marshall's jurisprudence emphasized that the Constitution is the supreme law of the land, enforceable by an independent judiciary. Through his court's decisions, he affirmed judicial review, broad implied powers for Congress, and federal authority to override conflicting state laws.

Nvidia controls more than four-fifths of the GPU market—but isn't considered a monopoly

Semiconductor company Nvidia has a commanding market share when it comes to graphics processing units. Its competitors include Advanced Micro Devices and Intel, which together account for less than a fifth of the GPU market.

Courts referee federalism disputes between Congress and the states

Modern federalism is primarily worked out through litigation. The Supreme Court decides disputes in written opinions that explain when federal law preempts state authority, how far Congress's powers extend, and when states may resist.

Modern examples of oligopolies include the airline industry

An oligopoly is a market structure dominated by a few key suppliers. In the US, as of 2021, just four airlines (Delta, United, Southwest, and American) controlled nearly two-thirds of all domestic flights, making the US airline industry one example of an oligopoly.

Read the majority opinion that established judicial review

In his opinion in Marbury v. Madison, Chief Justice John Marshall argued that a written constitution is "paramount law" and that courts must refuse to enforce statutes that conflict with it. He declared that "it is emphatically the province and duty of the Judicial Department to say what the law is."

In 1936, the federal government passed the Robinson-Patman Act, an antitrust law initially aimed at breaking up the power of the grocery store chain A&P.

A 1948 Supreme Court ruling realigned the film industry

1948's landmark United States v. Paramount Pictures found that the "Big Five" studios violated antitrust laws, effectively ending the reign of the vertically integrated system and the golden age of Hollywood.

How is credit reporting regulated in the US?

While the three main credit bureaus and the credit scoring companies aren't government entities, they are subject to certain US government regulations, such as the Fair Credit Reporting Act.

The median trademark of public companies in the US is worth $22.5M

There are multiple approaches to evaluating the value of a trademark. Some strategies include analyzing the value of royalty payments a trademark produces and the cost of recreating the trademark or brand.

Thomas Jefferson and John Marshall clashed over national power and states' rights

Distant cousins Jefferson and Marshall advanced opposing constitutional visions—Jefferson favoring states' rights and local majorities, while Marshall defended broad federal authority and judicial review. Through decisions such as McCulloch v. Maryland, Marshall advanced national supremacy over state resistance.

The Department of Justice is led by the US attorney general

The attorney general acts as the nation's top law enforcement official—managing all Department of Justice activities, overseeing US attorneys, and advising the president and federal agencies on legal issues that influence policy and enforcement.

Learn what different trademark symbols mean

In the US, brands can technically use a trademark without actually filing a trademark with the United States Patent and Trademark Office—which is where the ™ symbol comes from. However, brands that have officially filed trademarks can use the ® symbol in their branding.

Read an overview of US tariff policy before the second Trump Administration

This comprehensive report from the Congressional Research Service explores the evolving role of tariffs—from a major source of government revenue to a tool for trade and foreign policy—providing insights into current practices, legal foundations, and global trade dynamics.

The Department of Justice spent $44B in 2024.

Explore the specific authorities granted to Congress: the 'enumerated powers'

The Constitution grants Congress a list of powers—including taxing, regulating interstate commerce, and declaring war—while powers not explicitly listed are reserved to the states or the people, defining the federal government's scope of authority.

John Marshall strengthened the Supreme Court and national authority

As chief justice, John Marshall established the principle of judicial review. He reinforced federal supremacy in key cases, defining the Supreme Court as a powerful arbiter between states and the national government under the US federal system.

Gibbons v. Ogden expanded federal power over interstate commerce

In 1824, the Supreme Court unanimously invalidated a New York steamboat monopoly, ruling that navigation between states constitutes interstate commerce. Chief Justice John Marshall held that Congress has authority over such commerce and that conflicting state laws are void under the supremacy clause.

Network effects are the economic term for a good or service's popularity

When goods or services become especially popular, firms that provide that good or service become dominant in the market—which can ultimately lead to a monopoly.

The 1948 Supreme Court ruling was overturned in 2020

In 2020, US District Court Judge Analisa Torres overturned the 1948 Supreme Court ruling that broke up the studio system—effectively allowing the film industry to become vertically integrated once again—with companies like Amazon and Disney taking advantage of the relaxed regulations.

Listen to the pros and cons of owning a trademark as a small business owner

For many small business owners, it can be hard to decide when the time is right to file a trademark. This trademark lawyer says the decision often comes down to a product's branding, the size of the business, and how established the company is.

Trademarks are just one type of intellectual property

Intellectual property refers to any intangible "creation of the mind," which includes ideas, creative works, and even trade secrets. Trademarks, copyright, and patents are all protected by intellectual property laws—but each protection is separate and distinct.