Robert Picard

Senior Research Fellow, Reuters Institute, University of Oxford

Seminar Full Video:
“Big Digital Tech and the International Application on Competition Law“

Recap ​from the ​CITI/IMMAA seminar held on July 7, 2022.

Synthesis

In this enlightening session, Robert Picard, Senior Research Fellow at the Reuters Institute, University of Oxford, sheds light on crucial issues related to Big Digital Tech and the international application of competition law. His discussion centers on the concentration of market power among dominant tech platforms in the digital environment, and concerns about anti-competitive practices, data control, and privacy issues.

Picard begins by pointing out that various digital technology markets, such as telephony, e-commerce, content production, social networks, digital advertising, and data acquisition, are dominated by a few large players. These companies wield significant market power due to their size and control over key segments, raising concerns about competition and consumer welfare.

Governments around the world have increasingly scrutinized major tech firms like Google, Facebook (now Meta), and Amazon for their anti-competitive practices and data control. The European Union has been particularly proactive in taking action against these companies, imposing fines and proposing regulations to ensure fair competition and protect consumers.

The evolution of antitrust law is also discussed, especially concerning the rise of digital technology companies. Initially focused on issues like operating systems and software bundling, antitrust has expanded to include concerns about exclusionary practices, data control, advertising, and more. Data’s emergence as a valuable commodity and the prevalence of network effects have further complicated the landscape, leading to calls for separating data management from other business segments to prevent potential anti-competitive behavior.

Governments and antitrust authorities worldwide have launched investigations and legal actions against major tech companies due to concerns about anti-competitive behavior, data practices, privacy issues, and consumer harm. Examples include the United States’ investigations of Google and Meta, the European Union’s charges against Amazon, and South Korea’s investigation of Google.

Picard proposes several potential solutions to address the concentration of market power and anti-competitive practices in the digital environment. These include requiring interoperability between platforms, addressing abusive and discriminatory business practices, undoing anti-competitive mergers and acquisitions, pre-approving new mergers and business expansions, and considering the breakup of monopolies across business segments.

The approaches taken by governments to address these issues vary, with some considering measures like requiring interoperability between platforms, undoing mergers, imposing pre-approval for new acquisitions, and potentially breaking up monopolies across business sectors. However, striking a balance between addressing market dominance and fostering innovation remains a significant challenge.

Takeaways:

1. Big tech companies are facing increased regulatory scrutiny globally for their anti-competitive practices, data control, and privacy concerns.
2. The European Union is taking a proactive stance in imposing fines and proposing regulations to address competition issues and protect consumers.
3. Data accessibility and network effects are significant challenges for new entrants trying to compete with dominant tech companies.
4. Some countries are exploring measures like requiring interoperability and pre-approval for mergers to promote fair competition.
5. The future of anti-competitive and pro-competitive policies will be shaped by ongoing regulatory developments and actions taken by different countries’ authorities.

Biography

Guest, Robert Picard 

Robert Picard: Robert Picard is a Senior Research Fellow at the Reuters Institute, University of Oxford. Renowned in media economics, he examines the application of competition law to Big Digital Tech. Picard’s work focuses on anti-competitive practices and data control, advocating for fair competition and consumer welfare in the digital economy.

Facilitator, Eli Noam

At the Columbia Business School, where he established the Columbia Institute for Tele-Information (CITI), Eli Noam is a well-known economist, lecturer, and telecommunications specialist. Analysis of the economic and social facets of the media and technology industries is Noam’s area of expertise.

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About

This seminar summary was written by Ishmael Bonsu Nyame, a student at Northwestern University in Qatar.

The Columbia Institute for Tele-Information (CITI), in partnership with the International Media Management Academic Association (IMMAA), holds a monthly seminar program focused on strategy, management, and policy issues in telecommunications, computing, and electronic mass media. The seminars feature a presentation from an invited speaker and then opens up to Q&A and discussion from the audience. You can see other CITI/IMMAA seminar recaps at the IMMAA website  here.