- US Department of Justice (DOJ) filed a civil antitrust lawsuit against Visa for “monopolisation” in debit network markets, citing violations of Sections 1 and 2 of the Sherman Act.
- The DOJ alleges Visa maintains a monopoly by blocking competitors and limiting innovation in the debit payments ecosystem.
- Visa allegedly controls over 60% of debit transactions in the US, collecting $7 billion annually in processing fees.
- The DOJ claims Visa’s dominance has led to higher fees for consumers and businesses, resulting in increased prices and reduced service quality.
- Attorney General Merrick Garland stated Visa’s actions harm consumers by inflating prices across many goods and services.
- Visa denies the claims, with general counsel Julie Rottenberg arguing the lawsuit is “meritless” and that Visa faces competition in a growing debit market.
- The DOJ first investigated Visa’s US debit practices in 2021, and Visa also abandoned a $5.3 billion merger with Plaid after a DOJ lawsuit in 2020.
