Data Privacy: A Handy Shield Against Anti-Competitive Behaviour in EU Digital Markets?

Abstract

This paper examines the interplay between data privacy and competition law in digital markets, highlighting instances where certain conduct complies with data protection regulations but potentially violates competition laws. The focus is on Apple’s App Tracking Transparency (ATT) and Google’s Privacy Sandbox. While these initiatives promote user privacy, they face scrutiny for potential anti-competitive behavior. Apple’s ATT, which requires user opt-in consent for cross-app tracking, raises concerns about unfair conditions for app developers. Google’s Privacy Sandbox aims to replace third-party cookies with privacy-friendly alternatives, potentially limiting competitors' access to essential user data while favoring Google's ecosystem. Both initiatives have been examined by competition authorities. However, the author argues that the primary focus should be on the tech giants' conduct of positioning themselves as de facto data privacy regulators. The aim of this paper is to open a debate regarding the potential abusive effects of the “user privacy shield” and contribute to the broader discussion. While GDPR and data privacy regulations may seem separate, their interplay brings significant challenges, necessitating a more unified approach to address these issues effectively.