NEIL: MICHAEL BLOCK, GREAT.
IT’S NOT ONLY COMING FOR
ELIZABETH WARREN.
BUT WHEN IT COMES TO PLAYERS
LIKE GOOGLE ABROAD OR JUDGE
ANDREW NAPOLITANO.
GOOD TO HAVE YOU.
THIS IS PICKING UP STEAM.
>> IT IS.
BEFORE MR. MURDOCH JUMPED IN, I
THOUGHT THIS IS A POLITICAL
THING.
A COUPLE THINGS THAT THE COURTS
WOULD LOOK OUT.
WHAT IS THE MARKETPLACE?
IS IT ADVERTISING REVENUE JUST
FOR PHOTO SWAPPING OR IS IT
ADVERTISING REVENUE ON ALL OF
THE INTERNET AND HAS THE COST OF
ADVERTISING REVENUE GONE UP OR
HAS IT GONE DOWN SINCE THEY
SPOKE REQUIRED INSTAGRAM.
IF THE COST HAS GONE DOWN AND
CONSUMERS LOVE IT, THE COURT IS
NOT GOING TO GET INVOLVED.
THEY SAY TO THE JUSTICE
DEPARTMENT, GO FIND ANOTHER
INDUSTRY TO BREAK OUT.
IF ADVERTISING REVENUE HAS GONE
UP BECAUSE COMPETITION HAS BEEN
DECREASED, AND THEN FACEBOOK IS
A CANDIDATE THAT SOME FOLKS ARE
CALLING FOR.
NEIL: REPUBLICANS AND DEMOCRATS
CONCERNED TO A MAN OR WOMAN
ABOUT BEING TOO BIG FOR THEIR
BRITCHES.
>> WELL, IT IS POPULAR TO DO
THAT.
GREAT JUSTICE FOR NEW YORK ONE
SIDE NO MONOPOLIST MONOPOLIZES
UNCONSCIOUSLY.
EVERYBODY KNOWS WHAT THEY’RE
DOING.
THIS MYTH IS NOT NECESSARILY
WRONG.
IT DEPENDS ON MARKET SHARE IN
THE PRICE STRUCTURE AND WHETHER
HE WERE PUTTING YOUR ADVERSARIES
OUT OF BUSINESS BY LOWBALLING
THEM AND RAISING PRICES AFTER
THEY GO.
A LOT OF THIS IS VERY FACT
SENSITIVE.
THE DOJ TO GET INVOLVED UNDER
THE ANTITRUST LAWS HAVE TO DO A
TREMENDOUS AMOUNT OF ECONOMIC
INVESTIGATION FIRST TO LOOK AT
MARKET SHARE PRICE STRUCTURE.
NEIL: DON’T THROW OUT THE BABY
OUT WITH THE BATHWATER.
>> THEY VERY WELL COULD.
WHAT IS CRAZY ABOUT THIS AS TO
WHAT THE DOJ BE TRYING TO HELP?
CONSUMERS LOVE THIS THING.
SINCE FACEBOOK HAS GROWN
ASTRONOMICALLY.
IT MAKES YOU WONDER WHAT IS THE
GOVERNMENT DOING.
>> THE PROSECUTORS CRACKING DOWN
ON THE SCANDAL THAT COULD BE
TAKING AT LEAST MORE THAN 50
INDIVIDUALS.
MAYBE MORE.
WHEN YOU THINK OF IT?
>> IS THE GOVERNMENT IS ACCURATE
AND THE ALLEGATIONS THAT MADE IN >> IS THE GOVERNMENT IS ACCURATE
AND THE ALLEGATIONS THAT MADE IN
THE INDICTMENT FILED TODAY, AND
THIS IS A CONSPIRACY OF ENORMOUS
MAGNITUDE.
IT IS THE INTERSTATE MOVEMENT OF
MONEY FOR AN IMPROPER PURPOSE.
SO IT’S A CLASSIC FEDERAL CRIME.
NEIL: HOW CAN THE SCHOOLS SO FAR SO IT’S A CLASSIC FEDERAL CRIME.
NEIL: HOW CAN THE SCHOOLS SO FAR
NOT BE FINGERED MS?
>> HARD TO BELIEVE THE SCHOOLS
DIDN’T KNOW ABOUT IT.
SO FAR WE HAVE SEEN TWO
STATEMENTS.
ONE FROM JAIL AND 1% EACH
CLAIMING TO BE THE THEM.
IT’S HARD TO BELIEVE THEY DIDN’T
KNOW WHAT WAS GOING ON.
IT’S OVER 10 YEARS AND INVOLVES
HUNDREDS OF HUMAN BEINGS.
NOBODY KNEW ABOUT IT.
I THINK A LOT MORE IS GOING TO
COME.
NEIL: AND HOW IS THIS DIFFERENT
THAN THE WINK AND A NOD?
>> SO TO FOLLOW YOUR
HYPOTHETICAL, IF A RICH DUDE
GAVE $10 MILLION TO AN IVY
LEAGUE SCHOOL AND THEN THE RICH
DUDE’S CHILD APPLIED IN THE
STANDARDS WERE LOW, BUT THEY
WENT BECAUSE THEY GAVE SO MUCH
MONEY, WHAT IS THE DIFFERENCE
BETWEEN THAT AND WHAT THE
INDICTMENTS WERE FOR TODAY?
VERY LITTLE EXCEPT IN THAT CASE
THE MONEY WENT DIRECTLY TO THAT
SCHOOL WITH THE MIDDLE-SCHOOL
PEOPLE SIPHONING OFF FOR
THEMSELVES.
IN ONE LAWFUL?
RICH DUDES HAVE BEEN GETTING
THEIR KIDS BACK TO SCHOOL FOR
110 YEARS.
NEIL: WE REALIZE HE DIDN’T COME
FROM A LOT OF MONEY.
TOP OF YOUR CLASS.
UNFORTUNATELY DIDN’T FIT THAT
PATTERN.
WE TRIED.
NOT SO BARELY.
IT IS A SWEEPING INDICTMENT.
>> WHAT HAPPENS TO THE KIDS, THE
STUDENTS WHO ARE INNOCENT OF
THEIR PARENTS AROUND DOING WHO
GOT GOOD GRADES AT THESE SCHOOLS
WHO HAVE GRADUATED AND GONE ON
TO PROFESSIONAL SCHOOLS BY NOW.
>> SOME HAVE LONG SINCE GONE
THROUGH THE SCHOOL AND
GRADUATED.
>> THESE ALLEGATIONS CAN GO BACK
10 YEARS.