Regulation (EU) 2022/1925 on contestable and fair markets in the digital sector and amending Directives (EU) 2019/1937 and (EU) 2020/1828 (Digital Markets Act)

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Series Details L 265, Pages 1-66
Publication Date 12/10/2022
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Regulation (EU) 2022/1925 - formally adopted by the co-legislators on 14 September 2022 - setting out rules for platforms that act as gatekeepers in the digital sector. It is also known as the Digital Markets Act (DMA). This is a text with EEA relevance.

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Digital services brought a number of benefits for uses and contributed to the internal market by opening new business opportunities and facilitating cross-border trading. In this context, a small number of large online platforms capture the biggest share of the overall value generated. They became key structuring elements of the digital economy, intermediating the majority of transactions between users and business users. Many of these undertakings are also tracking and profiling end users. A few large platforms thus act as gatekeepers between business users and end users and enjoy an entrenched and durable position, often as a result of the creation of conglomerate ecosystems around their core platform services, which reinforces existing entry barriers.

Their impact on digital markets create dependencies of many business users on these gatekeepers, which leads, in certain cases, to unfair behaviour vis-à-vis these business users. Regulatory initiatives by Member States would not fully address the issue and could lead to a fragmentation of the EU internal market. The objective of this proposal is to allow platforms to unlock their full potential by addressing the most salient incidences of unfair practices and weak contestability so as to allow end users and business users alike to reap the full benefits of the platform economy and the the digital economy at large, in a contestable and fair environment.

The purpose of this Regulation is to contribute to the proper functioning of the internal market by laying down harmonised rules ensuring for all businesses, contestable and fair markets in the digital sector across the European Union (EU) where gatekeepers are present. It introduces amendments to Directive (EU) 2019/1937 and Directive (EU) 2020/1828. Such concerns were first highlighted in the European Commission's Communication on Shaping Europe’s Digital Future. A draft law was eventually tabled by the European Commission on 15 December 2020 as part of the a legislative package which also included the proposed Digital Services Act (DSA). It built on the provisions of Regulation (EU) 2019/1150, also known as the P2B Regulation.

The Council of the European Union adopted a general approach on 25 November 2021. The European Parliament endorsed a negotiating position on 15 December. An informal agreement between the co-legislators on a compromise text for this file was reached on 24 March 2022. This was formally endorsed by the Parliament on 5 July, followed by the Council on 18 July. The Act was signed by the co-legislators on 14 September 2022 and published in the Official Journal on 12 October 2022. The rules entered into force on 1 November 2022.

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Commentary and Analysis
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Article19: Issues: Digital Markets Act
European Publishers Council (EPC): Blog: Categories: Digital Markets Act
Verfassungsblog: Tag: Digital Markets Act
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EurActiv: Topics: DMA
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The Verge, 24/03/2022: EU targets Big Tech with sweeping new antitrust legislation
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EUR-LEX: COM(2020)842: Proposal for a Regulation on contestable and fair markets in the digital sector (Digital Markets Act)
EUR-LEX: SWD(2020)363: Staff Working Document accompanying the Proposal - Impact Assessment Report
EUR-LEX: SWD(2020)364: Staff Working Document accompanying the Proposal - Executive Summary of the Impact Assessment Report
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Council of the European Union: Press Release, 25/03/2022: Digital Markets Act (DMA): agreement between the Council and the European Parliament
European Commission: Press Release, 25/03/2022: Digital Markets Act: Commission welcomes political agreement on rules to ensure fair and open digital markets
European Commission: Remarks by Executive Vice-President Vestager for the political agreement on the Digital Markets Act (25 March 2022)
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European Parliament: Press Release, 05/07/2022: Digital Services: landmark rules adopted for a safer, open online environment
Council of the European Union: Press Release, 18/07/2022: DMA: Council gives final approval to new rules for fair competition online
Council of the European Union: Press Release, 04/10/2022: DSA: Council gives final approval to the protection of users' rights online
European Commission: Press Release, 31/10/2022: Digital Markets Act: rules for digital gatekeepers to ensure open markets enter into force

Wikipedia: Digital Markets Act

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