Regulating algorithms in the digital market: a revisit of Indonesian competition law and policy

Abstract

ABSTRACT Although the use of algorithms has become increasingly prominent in the digital market, such algorithms are often opaque and prone to risks of making biased decisions. Algorithms could also be used to harm competition, such as by facilitating cartels. Such developments make it necessary to examine the readiness of existing competition law to tackle cases involving algorithms. This paper focuses on analysing Indonesian competition law to address the following issues: (1) how current Indonesian competition law deals with algorithms-related cases; (2) which indicators could detect anti-competitive algorithms; and (3) which competition policy approach could be considered in Indonesia to tackle the problem resulted from the use of algorithms.