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Interoperability in digital markets : extending the regulatory framework from the financial sector
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0144-3054; 2754-1711
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European competition law review, 2024, Vol. 45, No. 10, pp. 464-478
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KHANDELWAL, Pankhudi, Interoperability in digital markets : extending the regulatory framework from the financial sector, European competition law review, 2024, Vol. 45, No. 10, pp. 464-478 - https://hdl.handle.net/1814/77621
Abstract
Digital markets are dominated by large firms such as Google, Meta, Amazon and Apple (hereinafter referred to as "big tech"). Regulations across various jurisdictions, such as the Digital Markets Act (DMA) in the EU or the proposed ACCESS Act in the US, formulate several interoperability obligations on these firms to interconnect some of their services with other players to facilitate their entry and expansion. Interoperability is the ability of a system, product or service to communicate and function with other (technically different) systems, products or services. However, emerging regulatory frameworks leave the question of implementing interoperability mandates entirely open. One explanatory hypothesis for the absence of prescriptions is that the issue raises many trade-offs that other institutions might be better placed to address than lawmakers. Some of these trade-offs arise from the sharing of data between firms, which may result in breaches of data security or privacy violations, encouraging free-riding and mandatory sharing of IPR-protected technical infrastructure with other players or the standardisation of the technical infrastructure which may result in reduced innovation and differentiation leading to fewer functionality for the end-users.
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Available online through Westlaw in 2024