The EU Commission consults stakeholders on updating the Market Definition Notice

The European Commission is consulting on updating its 1997 Market Definition Notice, which provides important guidance on identifying relevant markets in competition cases. One hotly debated topic is defining markets for two-sided platforms. We discuss some common misunderstandings on this topic, including on how to apply the hypothetical monopolist test to digital platform markets. Market definition is an important step in competition cases. The Commission’s Market Definition Notice of 1997 sets out the principles for defining relevant markets, including the hypothetical monopolist or ‘SSNIP’ test—where SSNIP stands for small but significant and non-transitory increase in price [1]. The SSNIP test captures the idea that if a hypothetical monopolist is able to profitably raise prices for

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Authors

  • Oxera (London)
  • Oxera (Oxford)

Quotation

Helen Ralston, Gunnar Niels, The EU Commission consults stakeholders on updating the Market Definition Notice, 26 June 2020, e-Competitions June 2020, Art. N° 100679

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