Digital Markets Act

EU law promulgated in 2022 that targets conduct of large digital markets participants,  i.e., “gatekeepers,” that is considered to reduce or inhibit competition. In particular the act seeks to target behaviours that entrench the market position of intermediary companies in wide range of digital businesses, from operating systems to device manufacturing, content streaming (both audio and video), online search, services such as travel agencies, etc. Gatekeepers are in part defined by size:

  • European Economic Area turnover of €7.5 billion over three years;
  • A market capitalisation of at least €7.5 billion;
  • 45 million users within the EU; or
  • 10 million commercial users in the EU.

Businesses already identified as falling within the gatekeeper definition include:

  • Alphabet, i.e., Google and it array of businesses – Google Search, Google Maps, Google Play, Google Shopping, Google Ads, Chrome, Android, YouTube;
  • Apple and its App Store, Safari and iOS;
  • Meta, i.e., Facebook and Instagram, Facebook Marketplace, WhatsApp an, Messenger;
  • Amazon;
  • Microsoft, in particular the operating system Windows but also Linkedin
  • Bytedance and it’s platform TikTok.

The DMA identifies a wide range of activities that it prohibits, in particular policies and activities that restrict competitors from access to customers of those platforms either actively or passively, prohibiting users from removing pre-installed software from devices, tracking users outside the platform they have subscribed to, exchanging information about users between co-owned platforms without consent and more.

 

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