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ARTICLE · 27 JANUARY 2021

Algorithms And Consumer Harm: CMA Publishes New Research Paper And Launches Call For Information

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The Competition and Markets Authority ("CMA") has published a new research paper: 'Algorithms: How they can reduce competition and harm consumers', identifying (in its view) the most harmful...

United KingdomAntitrust/Competition Law
Mayer Brown
Mayer Brown
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The Competition and Markets Authority ("CMA") has published a new research paper: 'Algorithms: How they can reduce competition and harm consumers', identifying (in its view) the most harmful areas of algorithmic operation in digital markets.  In addition, the CMA has launched a call for information, giving market participants the opportunity to help shape the CMA's understanding of how algorithms might support and/or harm consumers and, most importantly, its future enforcement stance.

In summary, the paper is highly instructive for firms seeking to understand the CMA's likely approach to the use of algorithms when its new Digital Markets Unit launches in April, setting out:

  • Types of direct harm to consumers – e.g. the use of personalisation measures to discriminate between consumers;

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