Home PublicationsCommentary Policymakers Should Be Careful on Platform Regulation

Policymakers Should Be Careful on Platform Regulation

by Nick Wallace

In response to a few businesses complaining of unfair treatment, the European Commission has proposed a regulation to compel online platforms to publish their policies on third-party sellers and to apply those policies consistently. While it is not clear that new regulation was necessary, the proposal would prevent capricious behavior without distorting the online economy because platforms would still have full control of their own policies. However, MEPs and member states may be tempted to amend the proposal to create stricter regulations on platforms’ dealings with sellers, which would reduce the differences between platforms and force them to reconsider services that compete with third party sellers, limiting consumer choice in both cases. If the European Parliament and the Council of the European Union adopt this regulation, they should not make drastic changes to it.

Read the full article in EUobserver

Image credit: Joe the Goat Farmer

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