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Marketplace Tech

The European Commission lists some tech titans as ‘gatekeepers’ of online services

Marketplace Tech

Marketplace

Technology, News

4.51.3K Ratings

🗓️ 12 September 2023

⏱️ 7 minutes

🧾️ Download transcript

Summary

The European Commission has designated six of the largest tech companies on the planet as the “gatekeepers” of online services. You’ll know these names: Apple, Amazon, and Microsoft. Facebook parent Meta. Google and YouTube parent Alphabet. And, maybe you’re less familiar with this one: ByteDance, which owns TikTok. They’ve all got until March to comply with the continent’s new Digital Markets Act (DMA), which aims to give users more choice. For more, Marketplace’s Lily Jamali spoke with Sumit Sharma, a competition and antitrust senior researcher at Consumer Reports, who explained what the term “gatekeeper” refers to.

Transcript

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0:00.0

The European Commission has designated six of the largest tech companies on the planet

0:26.9

as the gatekeepers of online services.

0:29.9

You'll know these names, Apple, Amazon, and Microsoft, Facebook, parent Meta, Google

0:35.3

and YouTube parent Alphabet, and, maybe you're less familiar with this one, Bite Dance,

0:41.0

which owns TikTok.

0:42.6

They've all got until March to comply with the Continent New Digital Markets Act, or

0:46.9

the DMA, which aims to give users more choice.

0:51.3

For more, we asked Summit Sharma, the competition and antitrust senior researcher at Consumer

0:56.1

Reports, who started by explaining what the term gatekeeper refers to.

1:01.5

These largest online platforms, not only dominate the markets, they are the markets, and so

1:07.4

they set the rules for these markets, and what the DMA does is, it sets out do's and

1:12.8

don'ts for these companies.

1:14.7

For example, they cannot self-preference their own services, and would allow businesses

1:21.8

to contract directly with consumers, for example.

1:25.4

So based on your understanding of how the Digital Markets Act would work, do the remedies

1:31.1

that it lays out seem like they could work?

1:34.0

Yes.

1:35.0

My expectation is that over the next year or so, as the DMA is implemented by these various

1:42.8

companies that are enforced by the Commission, we will start seeing divergence and the kinds

1:48.8

of product and services that are available to European consumers versus US consumers.

1:55.2

So in effect, the law is already in, it's already in force, and there are certain provisions

2:01.6

which are contractual provisions.

...

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