Brussels, BELGIUM – The European Commission’s first statutory evaluation of the Digital Markets Act (DMA), published today, presents an unbalanced picture of enforcement to date.
The Computer & Communications Industry Association (CCIA Europe) supports the DMA’s overarching objectives of creating more contestable and fair digital markets. However, the Association remains concerned that DMA enforcement has been unpredictable and overly discretionary so far, creating a ‘procedural black box’ that undermines effective compliance.
This lack of regulatory clarity has created significant legal uncertainty. CCIA Europe takes note of the Commission recognising procedural shortcomings in DMA enforcement and compliance processes, and showing a willingness to address them, albeit through ‘targeted’ measures.
Nevertheless, it is regrettable that the report – intended as a key milestone in assessing the DMA’s effectiveness – does not sufficiently analyse unintended negative consequences.
Far from simply ‘opening up’ markets, current DMA enforcement is already hampering the day-to-day online experience of millions of Europeans. The regulation is also driving up costs for European SMEs who do businesses using services provided by designated ‘gatekeepers’, thereby undermining the EU’s broader competitiveness objectives.
CCIA Europe appreciates the evidence-based approach the Commission is taking with respect to interoperability of social networking services, and encourages the Commission to apply a similar approach to artificial intelligence, investigations into the cloud market, and all future enforcement actions.
A successful DMA requires greater transparency, predictability, and a genuine environment of trust between the Commission, gatekeepers, and all third parties involved.
The following can be attributed to CCIA Europe’s Senior Vice President & Head of Office, Daniel Friedlaender:
“The European Commission has overlooked significant consequences for consumers, businesses, and Europe’s competitiveness. While highlighting certain positive developments, the DMA review fails to recognise the degraded online experience and potential security risks for users across the EU.”
“A more complete assessment is needed to ensure the DMA delivers on its objectives without undermining our competitiveness as a consequence of flawed enforcement.”
