Feds tackle dialysis giants with antitrust probe

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Feds tackle dialysis giants with antitrust probe
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The Federal Trade Commission investigation of DaVita and Fresenius Medical Care follows years of consolidation in the dialysis industry.

A patient undergoes dialysis. The probe is the latest effort by the FTC, which has become one of the Biden administration’s top corporate cops. | Rich Pedroncelli/APThe Federal Trade Commission is investigating the nation’s two largest dialysis providers over allegations they illegally thwart smaller competitors, according to three people with knowledge of the probe.

The probe is the latest effort by the FTC, which has become one of the Biden administration’s top corporate cops. Alongside its counterparts at the Justice Department, the agency has leveraged its regulatory power to curb corporate concentration across the economy — a key part of the White House’s economic agenda.

States, including California, have banned noncompete agreements outright, while others such as Delaware, Rhode Island and Massachusetts bar them specifically for doctors. The FTC is seeking to ban most noncompetes nationwide, but is facing a skeptical judge in Texas whoOverturning the noncompete ban doesn’t prevent the FTC, or any other plaintiff from challenging the contracts in court on a case-by-case basis.

A number of companies — including Quanta, Deka Research and Development and Outset Medical — are making a new generation of dialysis machines for the home market.

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