Translated with DeepL.com
With the new amendments to the Competition Law, the Competition Council (CC) has been given an additional function to monitor, in cooperation with the European Commission (EC), the implementation of the Digital Markets Act (DMA). The MTRs provide for harmonised rules across the European Union (EU), thereby promoting competitiveness in digital markets where platforms with the greatest impact on end-users operate.
On 29 February 2024, amendments to the Competition Act were adopted and will enter into force on 14 March. They make the CP the competent authority in Latvia for the supervision of Regulation (EU) 2022/1925 of the European Parliament and of the Council of 1 November 2022 on competitive and fair markets in the digital sector, or the Digital Markets Act.
By setting clear rules of conduct for the major digital platforms or gateways, the DTA aims to ensure a level playing field for businesses operating in the digital environment.
Under the DTA, gatekeepers are companies that are able to significantly affect competition in digital markets, including through practices that may harm the end-users of their services - commercial users and consumers. Currently, the EC has identified Alphabet, Amazon, Apple, ByteDance, Meta and Microsoft as gateway companies. From 6 March 2024, these gatekeepers must comply with the DTA requirements for the core services they provide: online intermediation services or search engines, social networking and video sharing platform services, as well as operating systems, virtual assistants, online advertising services and others. In addition, the EC has the right to revise and add to the list of gateways that will have to comply with the DTA.
In order to ensure a harmonised approach in the EU internal market, the EC is the sole competent authority for the application of the DTT, while the national competition authorities, including the CP, are obliged to support the EC by actively carrying out any necessary checks in the territory of Latvia - inspections or other information gathering measures. At the same time, the CP will provide assistance in market surveillance at the request of the EC, as well as monitoring the obligations imposed on gatekeepers and examining complaints received about possible non-compliance with the obligations under the DTT, forwarding them to the EC for further assessment.
The CP may, on its own initiative, initiate and carry out investigations into potential breaches of the DTT in the territory of Latvia and refer the results of the investigations to the EC, which is empowered to impose fines, periodic penalty payments or other remedies on the gatekeeper.
The CP stresses that the DTA will only complement, but not affect, the application of competition rules, thus not altering the power of the CP to monitor gatekeepers, e.g. for abuse of dominant position.
For further information:
Paula Celma
Senior Communication Officer
Tel: 68206980
E-mail: paula.celma@kp.gov.lv