FLOGEN Logo
In Honor of Nobel Laureate Dr. Avram Hershko
SIPS 2024 logo
SIPS 2024 takes place from October 20 - 24, 2024 at the Out of the Blue Resort in Crete, Greece

Honoree Banner
PROGRAM NOW AVAILABLE - CLICK HERE

More than 540 abstracts submitted from over 50 countries


Featuring many Nobel Laureates and other Distinguished Guests


Back

SELF-PREFERENCING IN GOOGLE SEARCH: EVALUATING THE DIGITAL MARKET ACT’S REGULATORY IMPACT
Tahsin Kamal Tonima1
1City, University of London, London, United Kingdom

PAPER: 369/Laws/Regular (Oral) OS
SCHEDULED: 18:10/Wed. 23 Oct. 2024/Minos

ABSTRACT:

Self-preferencing by firms with significant market power, particularly in the digital sector, threatens consumer welfare and market competition. This paper addresses the pervasive issue of self-preferencing, focusing on its manifestation within the Google Search Engine. Google's use of the PageRank algorithm has been critiqued since its 1998 inception for favoring its own products and services over those of third parties that operate on the platform, undermining competitive dynamics and democratic principles of the web. 

With the European Commission's recent proceedings against Alphabet under the Digital Markets Act (DMA), this investigation aims to determine whether Google’s search results lead to self-preferencing, thereby ensuring fair treatment of third-party services. The primary goal is to analyze the treatment of self-preferencing in recent case laws and assess the effectiveness of regulatory frameworks like the DMA in mitigating such practices. To achieve this, the paper employs a mixed-methods approach, combining a review of legal cases, an analysis of the technical mechanisms of Google's search algorithms, and an evaluation of the regulatory responses under the DMA.

Findings indicate that while the DMA provides a structured approach to curbing self-preferencing, challenges remain, especially with ensuring compliance amidst the evolving integration of AI functionalities into search engines. Effective detection and enforcement mechanisms are crucial for the DMA to achieve its intended impact on market fairness and consumer welfare. Additionally, this paper offers guidance for digital gatekeepers on compliance with Article 6(5) DMA, addressing concerns related to platform envelopment strategies that negatively impact consumers and businesses.

REFERENCES:
[1] Hoppner, Thomas. Self-Preferencing in Online Search under Article 6(5) DMA. SSRN, 2024, https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4764658.
[2] Martin Peitz, ‘How to Apply the Self-Preferencing Prohibition in the DMA’ [2023] Journal of European Competition Law & Practice lpad029.
[3] Jacques Crémer and others, ‘Enforcing the Digital Markets Act: Institutional Choices, Compliance, and Antitrust’ [2023] Journal of Antitrust Enforcement jnad004.
[4] Luis Cabral and others, ‘The EU Digital Markets Act’ (JRC Publications Repository, 8 February 2021)
[5] Pablo Ibáñez Colomo, ‘Google Shopping: A Major Landmark in EU Competition Law and Policy’ (2022) 13 Journal of European Competition Law & Practice 61.
[6] Daniele Condorelli and Jorge Padilla, ‘Harnessing Platform Envelopment in the Digital World’ (2020) 16 Journal of Competition Law & Economics 143.