Remarks delivered at Fordham Law’s FCLI International Antitrust Law & Policy Conference by Bruce Hoffman, acting director of the FTC’s Bureau of Competition, are mentioned in a Lexology article.
At the Fordham Competition Law Institute’s Antitrust Economics Workshop on September 13, 2017, D. Bruce Hoffman, Acting Director of the FTC’s Bureau of Competition, during a panel discussion, indicated that the FTC is unlikely to pursue predatory pricing claims against companies that simply use investor funds to enter a market without being initially profitable. Hoffman recognized that, “entering [a market]while losing money and being paid for by investors in the hopes of eventually making a profit,” has been a “pretty common entry model” for startups. As a result, proving price predation is “really challenging.” “Most entrants in any industry aren’t profitable on day one,” Hoffman added.