PublishedNovember 17, 2021

Tech Industry Groups Urge Improving Adjustment Mechanisms to Ensure an Effective and Proportionate Digital Markets Act

Brussels, BELGIUM — The Computer & Communications Industry Association (CCIA Europe) and several other leading technology trade associations representing startups, SMEs, app developers, platform operators and other technology industry players today sent a joint letter to Members of the European Council on the Digital Markets Act (DMA). The letter urges lawmakers to strengthen and improve the DMA’s existing adjustment mechanisms to ensure the DMA remains effective and proportionate as the digital economy evolves and more European platforms achieve scale. The letter is signed by Allied For Startups, The App Association, CCIA Europe, and techUK.

Ahead of a crucial vote of European Ministers, and similar milestones in the European Parliament’s Internal Market Committee (IMCO), the letter warns that the DMA’s “inflexible rules” will carry negative consequences for European consumers and business users, absent strengthened adjustment mechanisms. For more on this, see CCIA’s blog post.

The letter suggests avoiding a one-sized-fits-all or catch-all approach to the Article 5 & 6 obligations of the DMA, so that not all obligations are applied to all core platform services of every designated gatekeeper. The letter further suggests improving the inflexible approach of the obligations, by empowering the Commission to modify obligations as the digital economy evolves. 

The European Council is expected to adopt its position at the Council meeting next week, leading the way for final negotiations in 2022. 

The following can be attributed to CCIA Competition Counsel, Kay Jebelli

“The DMA treats all platform services as the same. They are not, and should not be regulated as if they are. Improving the DMA’s existing adjustment mechanisms would reduce unintended consequences, without causing undue enforcement delays. This is necessary; the digital economy deserves regulation that is as dynamic as the markets concerned.”

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