In today's rapidly evolving landscape of the internet and social networks, the exponential growth in data and its processing has given rise to new markets. At this juncture, ensuring the establishment of competition on emerging markets and safeguarding the personal data of data subjects are both interrelated and complex. This has led to recent collaborative efforts and information exchange between competition authorities and data protection authorities, evident through the signing of protocols to foster cooperation. This alliance addresses the intricate relationship between competition and the protection of personal data. Notably, the triggering event for this collaboration stems from the Meta Platforms decisions of the Court of Justice of the European Union ("CJUE") and several competition authorities around the world.1

Collaboration and Information-Sharing Protocol in between the Turkish Competition Authority and the Turkish Personal Data Protection Authority

On 26 October 2023, the Turkish Competition Authority ("TCA") and the Turkish Personal Data Protection Authority ("DPA") announced the signing of a collaboration and information-sharing protocol (the "Protocol"). The swift advancement and proliferation of data-based technologies have raised concerns regarding competition and the protection of personal data. Recognising the intersection of these two domains, the Protocol aims to:

  • Conduct joint studies.
  • Publish reports targeting both undertakings and consumers.
  • Organise joint presentations and discussion programmes.
  • Arrange mutual educational initiatives.
  • Engage in consultation at events hosted by the authorities and provide support to each other.

The Protocol highlights the collaboration between the TCA and the DPA, as well as serving as a catalyst for other countries' relevant authorities to forge partnerships.

The Turkish Competition Board recently finalised a preliminary investigation concerning Meta Platforms, Inc.'s alleged violation of Article 6 of Law No 4054 on the Protection of Competition. This allegation stems from the integration of its newly introduced Threads application with the existing Instagram platform. In its decision dated 23 October 2023, the Board evaluated the gathered information, documents and findings, before concluding that the evidence was significant and adequate to initiate a full investigation against Meta Platforms Inc. This is a second investigation against Meta Platforms Inc, after the first decision in which Meta received an administrative fine for breaching Article 6 of the Law No 4054 due to its policy of combining the data obtained by its affiliates, which encumbers the activities of its competitors, creates an entry barrier to the relevant markets and thus reduces consumer welfare.

Joint Declaration by the French Competition Authority and the French Data Protection Authority

On 12 December 2023, the French Competition Authority, in collaboration with the French Data Protection Authority ("CNIL") and the Toulouse School of Economics, signed a joint declaration (the "Declaration") "Data protection and competition: a common ambition" in which they confirm their intention to deepen their cooperation and explain how data protection and competition can be taken into account in their actions.

This Declaration aims to enhance collaboration in three distinct areas: conceptual, doctrinal and case-specific, fostering a deeper understanding between the two authorities.

The Meta Platforms decision dated 4 September 2023 and numbered C-252/21 of the CJUE triggered action by both CNIL and the French Competition Authority. The Declaration emphasises the need for collaboration between data protection and competition authorities to be more widespread and accelerated at a European level. Within the framework of the joint declaration, the two authorities undertake to:

  • Seek each other's opinions whenever feasible.
  • Undertake joint work on regulatory norms, facilitating convergence in their actions concerning new regulatory issues.
  • Organise joint sessions on mutually interesting topics and strive to focus their actions concerning issues like artificial intelligence and common regulatory challenges.

Additionally, the Declaration underscores the significance of addressing the data economy, where the dominance of certain platforms and interconnected services in specific markets create problematic scenarios concerning both competition law and personal data protection. The CNIL and French Competition Authority plan to give a European scope to their work: they will explore together the possibilities for cooperation between national authorities, gathered within the European Competition Network and the European Data Protection Board.

Conclusion

On digital markets, dominant actors easily amass vast amounts of data, creating barriers to entry. Consequently, these actors tend to abuse their dominant positions, benefiting from them while violating individuals' personal data. In the foreseeable future, we anticipate continued evolution in the decision-making approaches of competition authorities, with an increasing recognition of personal data protection as a critical element within competition considerations, mirroring recent trends.

The collaboration between competition authorities and data protection authorities signifies a critical step towards addressing the complex interplay between competition and data protection. As seen in the Turkish and French examples, protocols and joint declarations pave the way for mutual cooperation, emphasising the importance of aligning regulatory actions and fostering dialogue to ensure a fair and competitive digital landscape while protecting individuals' data privacy rights.

Footnote

1. Please see our previous articles on Mondaq:

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