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Britain launches new service aimed at overseeing tech giants
07.04.2021 [14:43],
Konstantin Khodakovsky

Due to the lack of antitrust regulation tools, the UK has created a new regulatory body that will discourage corporations like Google and Facebook from using their dominant position.

UK Digital Secretary Oliver Dowden

The regulator was named the Digital Markets Unit and has already begun work, which involves scrutinizing technology companies for any unfair actions. True, now the new body does not have the right to impose fines — these powers will be given to it after the approval of the relevant bill by the parliament.

“The Digital Markets Division has been launched and I asked it to start by looking at the relationship between platforms and content providers and platforms and digital advertisers,” said UK Digital Secretary Oliver Dowden. «It will pave the way for new digital services and lower prices, give consumers more choice and control over their data, and support our news industry, which is vital to free speech and our democratic values.».

A new division within the Competition and Markets Commission is called to life following the findings of Google’s threatening dominance in the search and online advertising markets and Facebook’s near-monopolization of social media.

One of the first challenges is to create a new environment that will ensure that Google and Facebook deal honestly and sanely with content providers like news agencies. Clearly this was influenced by the Australian precedent, where the authorities ordered Facebook and Google to share ad revenues with news content authors.

Once the regulator is on its feet, it will coordinate with other governments the terms of use of content for digital platforms, Oliver Dowden said. Secretary will meet with foreign digital ministers in April to discuss the matter.

The UK government’s first-year summary of the functions and roles of the new unit, published by the British government, identifies collaboration with business, government and academia to gather the necessary facts, knowledge and expertise to make the new competition regime work effectively.

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