In Brussels We Trust? Exploring Corporate Resistance in Platform Regulation

Abstract

Can European regulators be trusted with the enforcement of the new Digital Services Act package? Recent developments show that designated companies are increasingly pursuing legal action against EU institutions. In a comparative analysis of litigation in the context of the GDPR, the DMA and the DSA, we find that the accumulation of digital legislation over time provides some explanatory potential for this legal obstructionism. Moreover, compared to the GDPR, the DMA and the DSA have a stronger impact on platforms' business models. While GDPR provisions impose rules on obtaining a lawful basis for data processing on all data processing entities, they do not fundamentally alter how a subset of designated platforms generate profit. Although the Commission stands steadfast in its enforcement actions, the rise in legal disputes could be seen as a warning sign, questioning the platforms' true willingness to adhere and requiring the Commission to be particularly vigilant.

Keywords: Digital Services Act, Digital Markets Act, GDPR, platform regulation, enforcement, Brussels Effect, litigation