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ARTICLE · 16 DECEMBER 2020

New Antitrust Rules For The Digital Economy: German "Digitalization Act" Nears The Finish Line

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Europe's first legislative proposal addressing the digital economy and related competition issues is one step closer to becoming a reality.

GermanyAntitrust/Competition Law

Europe's first legislative proposal addressing the digital economy and related competition issues is one step closer to becoming a reality: In September 2020, the German government approved the highly anticipated 10th amendment to the German Act against Restraints of Competition (ARC).

While some revisions arise from EU Directive 2019/1 to strengthen the competition authorities of the EU Member States (ECN+ Directive), the main objective of the proposal—also called the "Digitalization Act"—is to create a new antitrust framework for the digital economy. Accordingly, the draft bill will revamp the law on abuse of dominance by addressing issues such as data access and data portability, cross-market data collection, and "intermediation power" of digital platforms. In addition, significant amendments in the areas of merger control, cartel investigations and cartel damages are being introduced.

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