The existence of only one European publicly owned large digital company (SAP) and two private ones (Spotify and Delivery Hero) is depressing evidence that Europe lags in the digital economy. According to a 2016 study, only 15 percent of digital platform companies worth over a billion dollars were born European, compared to 46 percent in the United States and 35 percent in Asia. If Europe wants its firms to succeed in the global digital economy, especially against large American and Chinese competitors, European competition authorities need to modernize their thinking and recognize that scale—even in the form of a monopoly—is usually not only pro-consumer but is a requirement for success in the digital economy.
Read the full article in Informa Connect.
Image: Friends of Europe.