India's competition commission is looking into telecom and digital markets


On June 8 Ashok Kumar Gupta has announced that India's competition commission is conducting studies on the telecom sector as well as merger and acquisition in the digital market. According to the publication, he stated that - "At present, apart from a market study in the telecom sector, a study on merger and acquisition in the digital market is going on. CCI is also planning to initiate a market study in the pharmaceutical sector". 

The increasing online business activities, caused partially by the world pandemic, partly by the general digitalization trend, such as the e-commerce are the cause of worries over the possible rise in anti-competitive practices which might have a negative impact on offline businesses. Furthermore, the concerns regarding the Bigtech business practices in India has continued to rise this year - starting with the amazon investigation back in January up to the recent concerns regarding Google. It is not surprising that the competition commission of India is also looking to enhance its expertise to deal with competition issues arising in the digital markets. The market trends in the e-commerce sector, uncovered by the competition commission of India previously suggested that there was a lack of platform neutrality and deep discounting practices that were among the competition concerns.

In the same publication, Ashok Kumar Gupta has stated that the research - " ... will be designed to answer broad issues of inquiry like change in competition strategies with the adoption of new technology, analysis of the market and assessment of the level of concentration and competition, vertical integration between access and content services, impact on competition of regulatory and policy developments... "