Effectiveness of Article 102 of the Treaty on the Functioning of the European Union (TFEU) in regulating digital markets

Abstract

The effectiveness of Article 102 of the Treaty on the Functioning of the European Union (TFEU) in regulating digital markets is at doubt. Research has shown that due to advancement of digital markets and its specific characteristics, the impact on traditional standards is high, requiring modifications. This study aims to evaluate the effectiveness of EU competition law and demonstrate proposals to enforce the law more efficiently. By targeting the digitalization era, it asks: To what extent EU competition law, in particular Article 102 TFEU is effective in regulating digital markets? Based on a review of Article 102 TFEU, the European Commission’s decisions, the Commission’s Guidance, the CJEU case law and economic concepts, analysis demonstrated that by enforcing Article 102 TFEU, there are far more downsides than strengths in regulating digital markets efficiency. The results indicate that EU competition law, in particular Article 102 TFEU is effective in regulating digital markets to low extent. On this basis, it is recommended to supplement enforcement of Article 102 TFEU by sector-specific regulation, broader definitions, different standards of proof and replace traditional tests