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Competition

Abuse of dominance in digital markets

 

 8 December 2020   virtual Zoom meeting

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2020 OECD GLOBAL FORUM ON COMPETITION WILL DISCUSS ABUSE OF DOMINANCE IN DIGITAL MARKETS 

Many digital markets exhibit certain characteristics, such as low variable costs, high fixed costs and strong network effects, that result in high market shares for a small number of firms. In some cases, these lead to “competition for the market” dynamics, in which a single firm captures the vast majority of sales.

Firms in these concentrated markets may possess market power, the ability to unilaterally and profitably raise prices or reduce quality beyond the level that would prevail under competition. There is an ongoing debate about whether competition policy is adequately making use of this tool in digital markets today. However, authorities face numerous challenges when bringing abuse of dominance cases in digital markets:

  • First, determining whether a firm is dominant is a substantial challenge. 
  • Second, authorities must decide whether to use new theories of harm, such as self preferencing, rather than existing theories such as tying and bundling, or refusal to deal. 
  • Third, abuse of dominance cases can be lengthy and resource-intensive. 

In December 2020, the OECD Global Forum on Competition will discuss the main types of abuse of dominance concerns that can emerge in digital markets, what makes these markets unique, and how have competition authorities around the world tackled the challenges described above.

All related materials for the discussion will become available on this page. 

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 » Back to the Global Forum website

Speakers 
 
Cristina CAFFARRA Bio  ‌  
Vice President, Head of European Competition Practice, Charles River Associates

Amelia FLETCHER Bio  
Professor of Competition Policy, University of East Anglia 

Lina KHAN Bio ‌  
Academic Fellow, Columbia Law School


GFC BLOG SERIES

This blog series is based on the 2020 Global Forum on Competition agenda and highlights some of the key issues that each session will address.

How can competition law tackle misconduct in digital markets?

Can market studies be a more effective tool for tackling emerging competition issues? 

More coming!

Documents

OECD background note

 

Abuse of dominance in digital markets 2020 cover

Call for contributions

Belgium

Related links

» Consumer data rights and competition, OECD Policy Roundtables 2020

» OECD-AGCM Workshop on Abuse of Dominance in Digital Markets, OECD Workshop 2019

» Implications of E-commerce for competition policy, OECD Policy Roundtables 2018

» Rethinking the use of traditional antitrust enforcement tools in multi-sided markets, OECD Policy Roundtables 2017

» Competition issues in aftermarkets, OECD Policy Roundtables 2017

» Competition and sanctions in antitrust cases, OECD Global Forum on Competition 2016

» Abuse of dominance and monopolisation, OECD Policy Roundtables, 1996

» Global Forum website

» OECD Competition Youtube channel

» Full list of Competition Policy Roundtables

 

Related Documents