Nd Digital Markets Act
platforms” using recommender systems and displaying advertisements on their site.
The DSA will also benefit public authorities, as the costs brought on by the inefficiencies and repetitions in the existing set-up for the cooperation of authorities will decrease. While member state authorities are also to set up a Digital Services coordinator to oversee the compliance of services established on their territory, as per the DSA, additional co-operation costs are to be borne at an EU level.
Digital Markets Act
The DMA establishes rules for platforms that act as “gatekeepers” in the digital sector. “Gatekeepers” are platforms that have a large impact on the internal market and grant better access to businesses to reach their customers. The
DMA aims to prevent potential abuses of power by such “gatekeepers” and thus complements the enforcement of competition law at EU and national level, without prejudicing Articles 101 and 102 of the TFEU.
Summarily, there are three principle cumulative criteria that determine whether a company falls under the DMA’s scope:
1. A size that impacts the mar
ket;
2. The control of an important gateway for business users towards consumers; and
3. An (expected) entrenched
and durable position.
The title of “gatekeeper” as per the DMA, triggers a set of regulations and non-adherence poses hefty fines. They shall be obliged to conduct themselves in a manner which ensures an open online environment that is fair to businesses and consumers. “Gatekeepers” must now grant smaller rivals access to, and ensure interoperability with, hardware and software needed to offer their service.
“Gatekeepers” shall also be inhibited from practising certain business conduct that was or is the subject of the Commission or member state investigations. While such investigations remain a point of contention, “gatekeeper” online platforms will nonetheless be prohibited from:
1. Merging personal data across services without end users’ prior consent;
2. Favouring the gatekeepers’ own products or services over the products or services of competing businesses that also use the platform;
3. Inserting most-favourednation (MFN) clauses that impede business users from offering the same products at different prices or conditions through third-party online intermediation services;
4. Making use of non-public data collected from the platform’s business users to compete against those business users; and
5. Requiring business users to use the gatekeeper’s identification service.
In practice, the Commission will determine whether a company is to be considered as a “gatekeeper”. The DMA also confers discretion to the Commission to determine which companies may be classified as gatekeepers, to investigate and sanction violations, as well as to create rules which clarify the manner of compliance with certain DMA obligations.
Emma joined GTG Advocates as a trainee in 2019. She is
currently reading for a Bachelors of Laws Degree at the University of Malta. Apart from this, Emma is an executive board member of Għaqda
Studenti tal-Liġi (GħSL)