The new Regulation will put an end to unfair practices by companies that act as gatekeepers in the online platform economy. It was proposed by the Commission in December 2020 and agreed by the European Parliament and the Council in record-time, in March 2022.
Tomorrow, the EU Digital Markets Act
(DMA) will enter into force.
The DMA defines when a large online platform qualifies as a “gatekeeper”. These
are digital platforms that provide an important gateway between
business users and consumers – whose position can grant them the power
to act as a private rule maker, and thus creating a bottleneck in the
digital economy. To address these issues, the DMA will define a series
of obligations they will need to respect, including prohibiting
gatekeepers from engaging in certain behaviours.
Designating gatekeepers
Companies operating one or more of the so-called “core platform
services” listed in the DMA qualify as a gatekeeper if they meet the
requirements described below. These services are: online intermediation
services such as app stores, online search engines, social networking
services, certain messaging services, video sharing platform services,
virtual assistants, web browsers, cloud computing services, operating
systems, online marketplaces, and advertising services.
There are three main criteria that bring a company in the scope of the DMA:
- A size that impacts the internal market: when the
company achieves a certain annual turnover in the European Economic Area
(EEA) and it provides a core platform service in at least three EU
Member States;
- The control of an important gateway for business users towards final consumers:
when the company provides a core platform service to more than 45
million monthly active end users established or located in the EU and to
more than 10,000 yearly active business users established in the EU;
- An entrenched and durable position: in the case the company met second criterion during the last three years.
More information on the procedure of designating gatekeepers is available in the Questions and Answers on the DMA.
A clear list of “do's and don'ts”
The DMA establishes a list of do's and don'ts
that gatekeepers will need to implement in their daily operations to
ensure fair and open digital markets. These obligations will help to
open up possibilities for companies to contest markets and challenge
gatekeepers based on the merits of their products and services, giving
them more space to innovate....
more at Commission
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