Thursday, June 05, 2014

No Market Power Needed In 2nd Circuit Vertical Restraint Cases

United States v. American Express Co, No. 10-CV-4496, May 7, 2014 order, here

EU competition chief to examine Amazon, Hachette e-book spat

Reuters.com, here.

Price Coherence and Adverse Intermediation

B. Edelman, J. Wright, here

Supermarket Power: Serving Consumers or Harming Competition

J. Berasategi, here

CMA consults on improved commitments relating to platform services for the automotive sector

CJEU: The ‘temporary copies’ exception applies to on-screen and cached copies

C‑360/13 Public Relations Consultants Association Ltd v Newspaper Licensing Agency Ltd and Others, here

AG: A Member State can authorise libraries to digitise books and make them available at electronic reading posts

C-117/13 Technische Universität Darmstadt v Eugen Ulmer KG Press Release here.

"...se contenter d’une simple offre du titulaire du droit d’auteur permettrait de subordonner l’application de ladite exception à des décisions unilatérales, ce qui, en conséquence, priverait l’exception d’effet utile pour les établissements concernés. L’interprétation téléologique, quant à elle, exige également, compte tenu de l’objectif d’intérêt général poursuivi par le législateur de l’Union, à savoir promouvoir la diffusion du savoir et de la culture, que l’utilisateur puisse invoquer cette exception (24).
...
De la même façon qu’il est loisible à un utilisateur d’une bibliothèque, dans les limites posées par la législation nationale, de photocopier les pages des ouvrages physiques présents dans le fonds et à une bibliothèque de le permettre, l’utilisateur peut imprimer des pages d’une copie numérique et la bibliothèque peut le permettre (57)"

CJEU: Cartel members may be sued for damage caused by umbrella pricing

C-557/12 Kone AG and Others v ÖBB-Infrastruktur AG, Press Release here, Judgment here.

Wednesday, June 04, 2014

Drafting Competition Law for Developing Jurisdictions: Learning from Experience

E. Fox, M. Gal, here

Desenvolvimiento competitivo impedido por medio de bloqueos marcarios: acuerdo conciliatorio

Fne.gob.cl, aquì

First Sale Hearing in the Big Apple

J. Band, here

Competition Policy and the Technologies of Information

H. Hovenkamp, here.


Google Deletion Complaints to Be Policed by EU Privacy Panel

Bloomberg.com, here

Competition issues at the forefront in aviation

ACCC.gov.au, here

YouTube's new streaming service: Independent music community on the barricades and seeking Almunia's intervention

Impala, here

Net Neutrality Explained by John Oliver

Video, here

HRS Decision in English (retail MFN)

Bundeskartellamt, here. For "general" information purposes only.

British Recording Industry Thinks 'Right To Be Forgotten' Proves Google Can Stop Piracy

TechDirt.com, here

On Privacy, Big Data and Competition Law

ChillingCompetition, Post 1 here, 2 here.

Weaving a Tapestry to Protect Privacy and Competition in the Age of Big Data

J. Brill, here

All the Amazon-Hachette coverage doesn’t seem to cover some important causes and implications

Idealog.com, here

Monday, June 02, 2014

Platform Strategy (Literature Survey)

G. Parker, M. Van Alstyne, here

Hearing: First Sale Under Title 17

U.S. House Judiciary Committee, testimonies here

Payback time: First patent troll ordered to pay “extraordinary case” fees (Judge Denise Cote)

ArsTechnica, here

Changes to UK Copyright: Education Exceptions

Copyright4education, here.

Interview: Booking.com confident it is on trend and set for further growth

Travolution.co.uk, here

Why Competition Matters and How to  Foster It in the Dynamic ICT Sector

ITU Global Symposium for Regulators discussion paper, here.

Consumer protection in the online world

ITU Global Symposium for Regulators discussion paper, here.

Lessons from the 'right to be forgotten'

TheHill.com, here

Wednesday, May 28, 2014

UN Special Rapporteur's concerns regarding Italy's online copyright enforcement

F. La Rue, here (Word file), p.13 f.

"The issue of intellectual property (...) was discussed during the visit and a number of concerns were raised regarding the adoption of additional measures for the protection of copyright at the expense of freedom of expression. For the Special Rapporteur, the establishment of norms protecting intellectual property should remain exclusively within the purview of the Parliament.

The Special Rapporteur also underlines that, although AGCOM may by law apply some limitations on online content, the removal of online content should be decided by the Court on a case-by-case basis."

Amazon on Hachette's Business Interruption

Here

Learned Society attitudes towards Open Access

EDP Sciences, prepared by TBI Communications, here

Old friends in new frocks? MFN clauses in the online hotel booking sector/19

(Previous installments here)

From a more evolutionary perspective, it is also noteworthy that in an era of big data firms at the different levels of the value chain have the potential to constantly gain better market insights. Based on the results of data analysis, both producers and intermediaries may experiment by way of fine tuning their marketing practices. In some respect, the uninterrupted and abundant flow of real-time, potentially insightful data makes it imperative for every market participant to continually experiment and adapt.


Facebook Asks Europe To Review Its $19B WhatsApp Buy In Bid To Head Off Local Opposition

TechCrunch, here.

Montebourg vole au secours des hôtels en assignant Booking en justice

Numerama.com, ici

Why Germany Dominates the U.S. in Innovation

Bloomberg.com, here

A Cable Merger Too Far

NYTimes.com, here

Tuesday, May 27, 2014

Are Google, Facebook, Twitter, and Amazon "data brokers" according to the FTC?

Not very clear, see here.

Data Brokers: A Call for Transparency and Accountability

FTC Report, here. Statement of Commissioner J. Brill, here

Amazon Strategy Raises Hackles in Germany

NYTimes, here

The right to be forgotten and open data

OKF blog, here.

Old friends in new frocks? MFN clauses in the online hotel booking sector/18

(Previous installments here)

Finally, and more generally, it would be unreasonable to turn a blind eye to the fact that the economic value extracted from consumers’ personal data is essential to many Internet entrepreneurs. Safeguarding competition in an era of big data requires a detailed understanding of how exactly user information fits into these firms’ business models.

Thursday, May 22, 2014

Antitrust Damage Actions in Europe: Race to the Middle?

J. Delgado, here.

Das grosse Feindbild Google

Nzz.ch, hier

Making Your Privacy Practices Public

K. Harris, Attorney General, California Department of Justice, here.

Does Google want to own the online travel-booking market?

TheEconomist, here.

This is the comment I left on the Economist's website: "As possible game changers, also worth mentioning are the investigations and decisions by competition authorities in the online hotel booking sector.They could make advertising in Google less crucial..."

AG Cruz Villalon says that certain parodies may be prohibited if against fundamental values of society

IPKat, here

Interview with Pam Samuelson, one of the founders of the Authors' Alliance

PublishersWeekly, here

Old friends in new frocks? MFN clauses in the online hotel booking sector/17

(Previous installments here)

This and other anticompetitive potentials of retail-price MFNs may be strengthened in the presence of a network of such clauses. Thus, the German Competition Authority found that the vast majority of hotels in Germany was under a retail MFN obligation with at least one of the three most popular hotel booking platforms, and this made practically impossible for an entrant platform to pursue a “consumers’ side” initiation/growth strategy based on commission-cuts and lower display prices.

Four things we’ve learned from the EU Google judgment

Iconewsblog, here

Wednesday, May 21, 2014

Nespresso s'engage : le droit de la concurrence l'emporte-t-il ? Pas vraiment !

C. Bialès, M. Bechini, F.-X. Boudy, M. Carbonnel,G. de Boiscuillé, T. Schrepel, ici

Top-grossing mobile games: How do they make money (Apple platform)?

BusinessInsider, here.

Case comment: Google Spain SL, Google Inc v Agencia Espanola de Proteccion de Datos, Mario Costeja González

Eutopialaw.com, here

Old friends in new frocks? MFN clauses in the online hotel booking sector/16

(Previous installments here)

The danger of anticompetitive foreclosure just mentioned should deserve a high level of attention by competition policy enforcers dealing with these and other practices involving online platforms. In fact, the successful market entry and expansion of this type of Internet entrepreneurs critically depend on their ability to attract two sufficiently sizeable groups of customers.

Tuesday, May 20, 2014

Big Bad Banks: Bid Rigging and Multilateral Market Manipulation

J. Connor, here

Network Industries

R. Picker, Spring 2014 Course Slides (1264, pptx download), here

Old friends in new frocks? MFN clauses in the online hotel booking sector/15

(Previous installments here)

First, we have seen that there are “spillover” effects from retail MFNs for other platforms and channels. In a context of seller-imposed retail prices, or “agency” model, a single wide MFN clause between a seller and a platform effectively prevents any other platform from displaying prices lower than the MFN’d price (e.g. cheaper hotel room rates, lower insurance premiums, etc.), thus creating a floor – or minimum - price.

By contrast, agency pricing as such is not necessarily conducive to rate parity, or price fixing, since it could well be in the seller’s interest to display different prices on different platforms. Thus, for instance, the mobile game Hundreds is priced  CHF5.00 on iTunes and CHF4.75 on Google Play, while the price of the racing game Impossible Road is the same on both platforms.

Actually, competition authorities in the UK and Germany have expressed serious concerns exactly because retail MFN clauses prevent expansion and entry strategies by platforms based on “selective” lower hotel prices and insurance premiums. In fact, due to the spillover effects of wide MFNs, an online retailer cannot use its ability to compete on commissions (or margins) in order to enter the market and try to achieve the critical mass necessary for the platform to survive and, possibly, to thrive. Instead, still under agency but without retail MFNs, the same retailer could pursue a strategy of lowering the commission rate applied to the seller with the expectation that the seller would then display lower prices on the more cost-effective platform. 

(To be continued)

UK Competition Tribunal rejects attempt to dismiss Skoosh's intervention (online hotel booking)

France: proposition de loi visant à encadrer les méthodes pratiquées par les agences de réservation en ligne

Ici

Euro interest rate derivatives cartel: EC sends Statement of Objections to Crédit Agricole, HSBC and JPMorgan

Press Release, here

Economics in the design and implementation of competition policy

J. Fingleton, Abstract and Audio here.


Thursday, May 15, 2014

Open Internet Project Manifesto - Paris Declaration of May 15, 2014

Economic Rationales of Exclusive Dealing; Empirical Evidence from the French Distribution Networks

M. Fadairo, J. Yu, here

Old friends in new frocks? MFN clauses in the online hotel booking sector/14

(Previous installments here)

In conclusion, and based on the above reflections, some tentative answers to the central question of this serial: What is really new about retail MFN clauses?

For years already, competition/antitrust circles have discussed whether anticompetitive motives and efficiency justifications underlying the adoption of vertical restraints in the off-line world equally applied to on-line sales. Thus, for instance, most participants in an OECD roundtable on vertical restraints for on-line sales agreed that “a new economic and regulatory framework was not needed to assess the competitive implications of vertical restraints” in the Internet economy. After all, as recently argued by Alexander Italiener, the EC Director-General for Competition, some of the actual issues emerging from e-commerce, such as how to deal with on-line resellers accused of free-riding on others’ promotional efforts, are hardly a novelty. Differences in scale and speed notwithstanding, mail order companies in the pre-Internet time were accused of doing broadly the same.

With regard specifically to retail MFN clauses as used by multi-sided platforms, before asking questions about the suitability of our current economic and regulatory framework in order assess them, it should be noted that this type of vertical restraint might raise some "original" competition concerns.

(To be continued)

The ten things that define you

J. Zittrain, here

Wednesday, May 14, 2014

Leveraging Market Power Through Tying and Bundling: Does Google Behave Anti-Competitively?

B. Edelman, here

The Audience in Intellectual Property Infringement

J. Fromer, M. Lemley, here

Old friends in new frocks? MFN clauses in the online hotel booking sector/13

(Previous installments here)

Notwithstanding, the Competition Commission validly argues that narrow MFNs are much less a cause for concern than wide MFNs. Generally, under narrow MFNs, competition between PCWs is not critically restricted, since PMI providers can quote different premiums on different PCWs. Nor is entry to the PCW market substantially hampered, since insurers can pass through to lower prices the smaller CPA fees required by new entrants. Moreover, an innovative PCW can still be “rewarded” by the insurer by quoting a lower price on the PCW’s platform.

The Commission also recognizes that, under specific circumstances, there might still be some tangible anticompetitive effects. However, as seen above, the Commission maintains that, at present, narrow MFNs impose significant network effects only in very few instances, and, therefore, their overall impact on the market is much limited. The Commission’s reasoning is not totally convincing, though. In particular, the widespread use of retail MFN clauses in the MPI industry could have hampered the development of the insurer’s direct sales channel. This means that it cannot be excluded that, once any type of MFN clause banned, the insurer will have more incentives to invest in making her own direct online channel grow.

At any rate, when a narrow MFN clause produces anticompetitive effects, it might still be possible to demonstrate the occurrence of specific efficiencies outweighing the harm to competition. Thus, it could be alleged that narrow MFNs prevent the insurer from free-riding on PCW’s investments. However, there might be alternative, less restrictive mechanisms than a narrow MFN clause to prevent this from occurring. For instance, consumers that use the PCW’s facilities for search and then purchase on the insurer’s website are rather easily identifiable by way of cookies or other means, and the contract between the insurer and the PCW can require that also in this case a fee must be paid to the latter.


(To be continued)

FAZ: Ausgewogener Journalismus oder persönliche Kampagne gegen Google?

14. Mai 2014

Europäischer Gerichtshof bekräftigt "Recht auf Vergessenwerden" , S. 1:
Die Welt ist keine Google, S. 1;
Im Netz verweht, S. 2;
Strassburger Applaus, S. 2;
Ehrverletzende Vorschläge, S. 2;
Leben, um es auch wieder vergessen zu können, S. 9;
Internetnutzer können persönliche Daten löschen lassen, S. 15;
Daten wie Wasser, S. 15.


Are APIs Patent or Copyright Subject Matter?

P. Samuelson, here