[PDF] elf-preferencing and EU competition law



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elf-preferencing and EU competition law

Self-preferencing is not, in general, prohibited by Article 102 TFEU Instead, it is subject to an “effects” test This means that self-preferencing conduct may constitute an abuse of a dominant position depending on its effects on competition and consumers The reason for this is that the question of whether self-

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Self-preferencing and EU

competition law What is self-preferencing? Why might self-preferencing raise competition law concerns? What types of self-preferencing conduct might fall within the scope of Article 102 TFEU?

Self-preferencing involves actions by an undertaking which are designed to favour its own products or

services over those of its competitors. Self-preferencing is often described as a subset of a broader type of conduct, known as leveraging.

Leveraging conduct involves the use of power in one market to strengthen a position in another market. From a competition law perspective, the overall concern with self-preferencing, and other types of

leveraging conduct, is that an undertaking with a dominant position may engage in this conduct in order

to enhance its own market position, and to prevent or inhibit the entry/expansion of other competitors. In

other words, there is a concern that self-preferencing and/or leveraging conduct engaged in by dominant

undertakings may produce exclusionary effects. Self-preferencing is not, in general, prohibited by Article 102 TFEU. Instead, it is subject to an “effects" test.

This means that self-preferencing conduct may constitute an abuse of a dominant position depending

on its effects on competition and consumers. The reason for this is that the question of whether self-

preferencing should be prohibited by competition law is not straightforward, and the answer may well vary from case to case. In the Google Shopping decision, the European Commission found that Google had abused its dominant

position in the relevant markets for general search services in the EEA by positioning, and displaying

more favourably, in its general search results pages, its own comparison shopping service compared to

In addition, self-preferencing conduct can overlap with, or contain elements of other types of conduct that

might constitute an abuse of a dominant position prohibited by Article 102 TFEU, provided the relevant

ŦThis conduct might include:

Tying or bundling arrangements.

Discriminatory conduct (such as giving preferential terms to some undertakings over others). Refusal to supply goods or services.

For more information:- See, in particular, the Commission's

Google Shopping Decision, which is

available online from the European

Commission"s website.

- For more general information on

Article 102 TFEU, see section 4 of the

DFF"s Short guide to competition law

for digital rights litigators.quotesdbs_dbs21.pdfusesText_27