In a new paper, we present a novel theory of “purposeful enterprise” to explain why nonprofit enterprises survive and thrive. We define nonprofit enterprises as nonprofits that generate revenue primarily through operations rather than donations.[1] Patagonia, Novo Nordisk, IKEA, Carlsberg, Anthropic, OpenAI (for now), and most hospitals and universities fall into this category.
Nonprofit
Can Europe’s Digital Markets Act Tame Big Tech in the U.S.?
The digital economy has put antitrust regulation in the spotlight, with increasingly dominant technology companies – such as Amazon, Google, Facebook (Meta), Apple, and Microsoft – reviving concerns about private monopolies reminiscent of Standard Oil and AT&T. Yet the enforcement of antitrust principles in the digital world are far more complex than in traditional, non-digital
The Year in Review: Top Ten Law Bytes Podcast Episodes
The final Law Bytes podcast of 2024 released last week took a look back at the year in digital policy. With the podcast on a holiday break, this post looks back at the ten most popular episodes of the year. Topping the charts this year was a debate with Senator Julie Miville-Dechêne, who graciously agreed
What Firms Disclose About Their Use of AI
The revolutionary potential of artificial intelligence (AI) creates substantial uncertainty about its impact on firm value. On one hand, AI can drive revenue growth through innovative products and precise customer targeting, while also reducing operational costs by automating tasks, optimizing supply chains, and improving production processes. On the other hand, AI comes with heightened risks,
AI and the Future of Legal Services: IAALS Convening Explores Unlocking Legal Regulation
In November, IAALS held a two-day convening on Regulating AI in the Delivery of Consumer-Facing Legal Services, its fourth in a series of expert convenings designed to align industry leaders around strategies to unlock legal regulation. With the rapid development of generative AI, the legal space has been abuzz with questions about how lawyers
Cleary Gottlieb Discusses DOJ Guidance for Evaluating Antitrust Compliance Programs
On November 14, 2024, the U.S. Department of Justice (“DOJ”) Antitrust Division (the “Division”) released guidance for the Evaluation of Corporate Compliance Programs in Criminal Antitrust Investigations (the “Guidance”). The Guidance will be used by the Division in assessing the adequacy and effectiveness of a company’s antitrust compliance program when making a charging or resolution
SEC Chair Gensler Speaks Before the Financial Stability Oversight Council
Thank you, Secretary Yellen, for your leadership of this council these last four years. I also want to thank my fellow council members and their staffs for the collaborative efforts we’ve all put in to ensure that the risks in our financial sector don’t spill out and hurt everyday Americans.
Today’s formal agenda includes a
The Law Bytes Podcast, Episode 222: Robert Diab on Canadian Media’s Copyright Lawsuit Against OpenAI
Canada’s largest media companies came together recently to file a copyright infringement lawsuit against OpenAI, the owners of ChatGPT. I wrote about the suit, suggesting that the primary motivation behind the suit was likely the hope to kickstart settlement discussions with the hope of a licence. Robert Diab, a law professor at Thompson
Simpson Thacher Discusses Updated Antitrust Compliance Guidance
On November 12, 2024, the U.S. Department of Justice (“DOJ”) published updated guidance on how the DOJ’s Antitrust Division will evaluate corporate compliance programs when making charging decisions and sentencing recommendations relating to criminal antitrust violations, such as bid-rigging, price-fixing, and market allocation schemes.[1] Notably, the new guidance for the first time instructs Antitrust
Wilson Sonsini Discusses the New National Security Rules for Investing U.S. Capital
In late October 2024, the U.S. Treasury Department (Treasury) issued its final rules (the Outbound Rules) implementing President Biden’s Executive Order (EO) 14105 on “outbound” U.S. investment. See our prior mailers here and here. The Outbound Rules will take effect on January 2, 2025, and will add a new layer of diligence to most