Business Co-operation on Electronic Marketplaces: Competition Law Concerns

Abstract

Does traditional antitrust law tally with the special sphere of the New Economy , and especially with phenomena connected with the Internet? This issue is a disputed one. Whereas the predominant opinion among the antitrust authorities and experts in antitrust law is that antitrust law provisions and principles of application are generally sufficient in order to assess the new phenomena adequately, there are also those who refer to the specific nature of the Internet economy and call for restraint when applying antitrust law provisions in this sphere. In order to resolve this disputed issue it is important to keep in mind the numerous problems in the border zone between antitrust law and the Internet. For example, one argument occasionally submitted is that the Internet medium facilitates inadmissible concerted action. In these cases it is considered very difficult to bring the offenders to justice. These fears are open to doubt. The Microsoft proceedings have shown that statements made on the Internet or within an intranet are stored in numerous places and are easier to trace than would be the case if an informal meeting were held. However, practical experience is still lacking with Internet-based hard-core cartels. At the conference of the US Federal Trade Commission in May 2001, one of the focal themes was price fixing on the Internet.