The House Judiciary Committee’s report scrutinizing CVS’s market power raises serious antitrust concerns and justifies continued congressional oversight, Rep. Scott Fitzgerald (R., Wis.) told the Washington Reporter.
The Judiciary Committee report examined consolidation across the pharmacy benefit manager (PBM) and retail pharmacy markets, with CVS identified as the dominant player. The report investigated alleged anticompetitive actions including during a period when current CVS CEO David Joyner ran Caremark. Lawmakers have raised alarms that vertical integration in the healthcare sector could squeeze independent pharmacies, suppress competition, and limit patient choice.
In an exclusive statement to the Reporter, Fitzgerald said the investigation focused on ensuring competition is protected and that large corporations do not use their size to disadvantage smaller players:
“When powerful companies use market dominance to threaten independent pharmacies and suppress innovative competitors, it raises serious antitrust concerns. As Chairman of the Subcommittee on the Administrative State, Regulatory Reform, and Antirust, my responsibility is to ensure that competition is protected and that small businesses and patients are not harmed by backroom decisions designed to benefit one company at the expense of others. This investigation is about competition, transparency, and making sure the rules aren’t being written by the biggest player in the market.”
A growing number of Republican lawmakers are skeptical toward dominant healthcare conglomerates and renewed interest in aggressive oversight of market concentration.
The CVS report has also drawn criticism from outside Washington. The Reporter reported this week that Mark Cuban slammed CVS and urged lawmakers to pursue reforms that would lower barriers for new entrants and restore competition in healthcare markets.
House Judiciary Committee investigators have indicated that their work is ongoing, as Republicans weigh legislative and oversight options to increase transparency and enforce existing antitrust laws.