Damian CollinsMP, Chair of the Digital, Culture, Media and Sport
Committee, reacts to the Furman Review Expert Panel’s report on
unlocking digital competition published today:
“I welcome the publication of Professor Furman and his Expert
Panel’s report on unlocking digital competition. It’s central
conclusions that digital markets only work well if they are
supported with strong pro-competition policies, corroborates a
number of the findings of my Committee’s report into
Disinformation and ‘fake news’ published in February.
“It is clear that a strong code of ethics is needed to regulate
online platforms, and I agree with the report’s conclusion that
the proposed code of competitive conduct is complementary with
the code of ethics suggested by my Committee.
“We welcome the measures put forward to tackle anti-competitive
practices and bullying tactics by market leaders. This comes at a
critical moment ahead of the beginnings of regulation from
Government to rein in the powers of the tech
companies.
“The Expert Panel has joined with Dame Francis Cairncross and my
Committee in requesting that the CMA undertake an investigation
into the digital advertising market to examine whether
competition is working effectively and whether consumer harms are
arising. This audit is crucial should start without delay.
“I agree with the report that common data standards, including
around the treatment of inferred data, should be set. My
Committee was concerned by the treatment of inferred data by
large tech companies such as Facebook, and it is essential that
the Government acts to protect consumers.
“The report is right to highlight that United Kingdom has the
opportunity to lead by example in the area of digital regulation.
With a history of fair and robust regulation, and with the
largest tech sector in Europe, the UK is uniquely placed to set
world leading standards in the digital arena. Through the
formation of the ‘International Grand Committee’ it has already
been demonstrated that other nations are ready to work with us to
tackle the plethora of challenges presented by social media
platforms.”
Notes for editors:
The DCMS Committee’s final report on Disinformation and ‘fake
news’ was published 18th February 2019. It can be
read here.
Code of ethics: Paragraph 37 of the DCMS
Committee’s final report recommended that ‘a compulsory Code of
Ethics should be established, overseen by an independent
regulator, setting out what constitutes harmful content.’ This
code of ethics is compatible and complementary with the Expert
Panel’s recommendation action 1 regarding the establishment of a
code of competitive conduct. This is further highlighted in
paragraph 2.42.
CMA review of the digital advertising
market: Paragraph 139 of the DCMS Committee’s final
report recommended that the CMA “should conduct a comprehensive
audit of the operation of the advertising market on social
media”. A recommendation echoed by the Cairncross Review. The
Expert Panel came to the same conclusion, as highlighted in
strategic recommendation E.
Inferred data: The Expert Panel’s
recommendation action 20 supports the DCMS Committee’s
recommendation that inferred data should be protected under the
law as personal information, as set out in Paragraph 48 of the
Committee’s final report.
Digital monopolies: in its final report,
the DCMS Committee highlighted the monopolistic tendencies of
major technology companies, and in particular Facebook. This view
was in part formed by documents received from the technology
developer Six4Three and published by the Committee.
Global leadership: throughout the inquiry,
the DCMS Committee engaged with international partners to help
form its recommendations. This culminated with the formation of
the ‘International Grand Committee’ in on the
27th November 2018, led by MP. The International Grand
Committee is due to meet again in Ottawa on
28th May 2019.