Monopoly power and antitrust law is another area where some misunderstandings exist. First, I suppose, it would be useful to acknowledge that having a monopoly in a market is not in itself illegal or in violation of antitrust laws. Monopoly dominance is permissible when it is acquired by lawful means. "To safeguard the incentive to innovate, the possession of monopoly power will not be found unlawful unless it is accompanied by an element of anticompetitive
conduct." [Justice Scalia writing opinion of unanimous court
Verizon v. Trinko, 540 U.S. 398 (2004)]
Anticompetitive
conduct being the key differentiation between a legal and an illegal monopoly, the anticompetitive conduct must generally be directed at excluding competitors or preventing new entry in the same market. Anticompetitive conduct would be exclusionary or predatory acts such as: exclusive supply or purchase agreements; product tying; predatory pricing; or refusal to deal.
Let's take an example of refusal to deal. To repeat, the anticompetitive conduct must generally be directed at excluding competitors or preventing new entry in the same market. Here are two examples of companies refusing to sell advertising—one an antitrust violation case and one that is a First Amendment case.
This example is from the Federal Trade Commission (FTC). "For example, in a case from the 1950's, the only newspaper in a town refused to carry advertisements from companies that were also running ads on a local radio station. The newspaper monitored the radio ads and terminated its ad contracts with any business that ran ads on the radio. The Supreme Court found that the newspaper's refusal to deal with businesses using the radio station strengthened its dominant position in the local advertising market and threatened to eliminate the radio station as a competitor." This is clearly anticompetitive conduct as it involves a refusal to deal for the purpose of excluding a competitor from a shared market.
What if you're refusing to deal with a business that is
not a competitor? Businesses can freely choose to associate with each other. Can you also freely choose
not to associate your business with another that doesn't conform with your self-determined standards — perhaps by refusing to accept their advertising? As I mentioned in a prior post, the First Amendment insures individuals and businesses are free to choose whether or not to distribute content based on their own self-determined standards without government interference.
This is a more recent example from 2017. InfoStream Group, owner of dating sites WhatsYourPrice.com and SeekingMillionaire.com sued SiriusXM for refusing their advertising.
A federal court found for Sirius XM saying: "Precluding a broadcaster from refusing to sell airtime is inconsistent with the First Amendment protections enjoyed by private broadcasters. Sirius, as a broadcaster, has a First Amendment right to decline to run advertisements... In any event, ‘speech results from what a speaker chooses to say and what he chooses not to say' and therefore the right in question comprises both a right to speak freely and also a right to refrain from doing so at all, and is therefore put at risk both by prohibiting a speaker from saying what he otherwise would say and also by compelling him to say what he otherwise would not say.”
https://www.hollywoodreporter.com/business/business-news/judge-agrees-broadcasters-have-first-amendment-right-refuse-advertisements