Log in or register
Share on LinkedInShare on LinkedIn

ARTICLE · 18 JUNE 2024

DMCC Act: Strategic Market Status

Bristows LLP
Bristows LLP
Contributor
Bristows LLP

Bristows LLP

We are Bristows, the world’s leading specialist law firm for clients that innovate. We are a London...

View firm profile
Explore more from Bristows LLP

The DMCC Act's designation of "strategic market status" (SMS) for firms begins in late 2024. SMS applies to firms with significant market power in digital activities linked to the UK, meeting turnover thresholds. The CMA's SMS investigations will initially target major tech firms, focusing on market power and strategic significance.

United KingdomAntitrust/Competition Law
Sophie Lawrance
Sophie Lawrance
James Batsford
James Batsford

In this first article of our Spotlight series on the DMCC Act, we take a closer look at how firms will be designated as having 'strategic market status' (SMS).

A firm may be designated as having SMS in respect to a particular digital activity with a link to the UK where the firm has substantial and entrenched market power and a position of strategic significance in respect of that activity. The firm must also meet certain minimum turnover thresholds. An SMS designation will last for a period of five years with the possibility of a firm being re-designated at the end of that period following a further SMS investigation. We expect the first of these SMS investigations to start towards the end of this year when the new regime comes into force.

We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.

Register for freeORLog in

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

View source

Related Articles

Legal Intelligence Newsletters: sign up for the latest legal and regulatory news on your chosen topics

Read more about

Related Comparative Guides

See more popular content from

Article

Broadcom/VMware: EU General Court Again Weighs In Favour Of Commission’s Broad Information Gathering Powers

The European Commission's broad information-gathering powers under EU competition law have been reinforced by the General Court's dismissal of Broadcom's challenge to document production requests. The case raises critical questions about the extent to which the Commission can compel production of documents held overseas that are subject to legal professional privilege in other jurisdictions, particularly communications with non-EU qualified external counsel.
European UnionAntitrust/Competition Law
Macfarlanes LLP
Macfarlanes LLP
Article

UK Competition And Markets Authority Publishes Final Revised Merger Efficiencies Guidance

The UK's Competition and Markets Authority has published revised guidance on assessing merger efficiencies, marking a significant shift toward greater receptivity to efficiency-based arguments in merger reviews. The new provisions introduce more flexible evidentiary standards, recognize the potential role of behavioral remedies in securing efficiencies, and encourage parties to advance efficiency claims earlier in the review process without implying acceptance of competitive concerns.
United KingdomAntitrust/Competition Law
Baker Botts L.L.P.
Baker Botts L.L.P.
Article

A Precedent For The Platform Age: The Booking/eTraveli Judgment And Its Implications For Digital M&A

The European General Court has upheld the Commission's prohibition of Booking's acquisition of eTraveli Group, endorsing a novel 'ecosystem' theory of harm that allows intervention even where market share increases are minimal. This landmark ruling significantly expands the Commission's ability to challenge acquisitions by dominant firms in digital markets, establishing that transactions which merely perpetuate existing low levels of competition can constitute significant impediments to effective
United KingdomAntitrust/Competition Law
Slaughter and May
Slaughter and May
Article

Few Surprises, As The CMA Finalises Its Revised Approach To Merger Efficiencies

The UK Competition and Markets Authority has formalised its new approach to assessing efficiency arguments in merger control cases, marking a significant shift toward a more holistic evaluation framework. This updated guidance, which emerged from the CMA's 4Ps initiative, introduces the concept of Rivalry-Enhancing Efficiencies and establishes clearer pathways for merging parties to demonstrate competitive benefits.
United KingdomAntitrust/Competition Law
Macfarlanes LLP
Macfarlanes LLP
Article

UK FCA Accepts Novel Commitments Package To Resolve Antitrust Investigation Into Commodity Futures Traders

The UK Financial Conduct Authority has accepted binding commitments from 11 day traders following an investigation into suspected exchange of competitively sensitive information and coordination of trading strategies in commodity futures markets. The decision highlights critical compliance priorities for firms operating trading arcades and shared trading infrastructure, while leaving key legal questions deliberately unanswered. What does this enforcement action signal about the FCA's approach to antitrust e
GlobalAntitrust/Competition Law
A&O Shearman
A&O Shearman
Article

Spotlight On Agentic AI | Liability

As businesses increasingly deploy agentic AI systems capable of autonomous decision-making and actions, questions arise about supplier liability when AI agents malfunction or produce unexpected results. This article examines the contractual frameworks governing agentic AI relationships, revealing how standard IT contracts may inadequately address the unique risks of autonomous AI systems and exploring strategies for customers to better protect themselves against potential losses from AI agent failures.
United KingdomCorporate/Commercial Law
Bristows LLP
Bristows LLP
Podcast

(Medical) Crimes And (Data) Misdemeanours - Writing To The European Commission’s AI Act Service Desk Concerning Annex V Of The EU AI Act (Conformity Assessments) - LIVE! (Podcast)

Marc Dautlich and Alex Denoon explore the complexities of the EU AI Act's Declaration of Conformity requirements, specifically examining what it means for High-Risk AI Systems to comply with GDPR. The podcast addresses the practical challenges providers face when preparing this living document for AI-integrated medical devices and other regulated systems.
United KingdomFood, Drugs, Healthcare, Life Sciences
Bristows LLP
Bristows LLP