Knowledge Shapes Decisions: the EU Evolving Experience with Tech Giants' Mergers
19 Pages Posted: 17 Dec 2024
Date Written: September 01, 2024
Abstract
This paper examines the European Commission's evolving approach to mergers in digital markets, highlighted by its recent decision to block Booking's acquisition of eTraveli. By focusing on the competitive dynamics within digital ecosystems, the European Commission introduced a new framework for assessing mergers, emphasizing the long-term risks of market dominance over potential efficiency gains. The paper situates this decision within a broader context of EU merger cases involving tech giants, illustrating how the European Commission has gradually deepened its understanding of digital market structures and consumer behavior. It argues that the Booking/eTraveli case is not a sudden departure but a continuation of a strategic shift in how the Commission addresses competition issues in the digital economy. Through a critical analysis, the paper challenges the perception that this decision marks a new era of regulatory overreach, showing instead that it reflects a nuanced and long-standing effort to safeguard competition in increasingly complex digital ecosystems.
Keywords: antitrust, competition law, mergers, ecosystems, digital, Booking, eTraveli, theories of harm
JEL Classification: L4, L5
Suggested Citation: Suggested Citation