Statement of Commissioner Mozelle W. Thompson
Warner Communications Inc.
File No. 001-0231
As I said in my statement(1) following the issuance of The Antitrust Guidelines for Collaborations Among Competitors,(2) I believe that joint ventures can enable companies to expand into foreign markets, fund expensive innovation and research efforts, and lower costs to the benefit of industry and consumers alike. But an otherwise legitimate joint venture may not shield price fixing or any other form of anticompetitive restraint if the restraint is not both reasonably related to the venture and reasonably necessary to achieve the venture's procompetitive objectives. The Commission's complaint against Warner Communications and the accompanying consent order that we accepted for public comment today underscore this important principle of joint venture law.