[gnso-rds-pdp-wg] Digital Privacy is Making Antitrust. Interesting Again

Volker Greimann vgreimann at key-systems.net
Thu Jun 8 09:14:23 UTC 2017


I think that the point of the article is that there have to be two factors:

1) An entity has to have an enormous store of data that competing 
entities would never be able to compile in time to make them 
competitive, and

2) The entity has to use that data commercially in a (potentially) 
competitive environment.

If there is just data, but no commercial use there obviously is no 
Antitrust issue. I therefore think that unless ICANN is contemplating to 
somehow use this data, there will be no impact on our work...

Best,

Volker



Am 07.06.2017 um 20:41 schrieb Greg Shatan:
> The article is so vague, there's something in it for everyone.  The 
> overall thrust is definitely about unilateral behavior abusing a 
> dominant market position.
>
> I'm not sure what gave the author the idea that the panelists were 
> talking about mergers weakening privacy protections.  The article goes 
> on to discuss the EU's fining of Facebook for making misleading 
> statements to the EU Competition authorities during their review of 
> the WhatsApp acquisition (FB said they wouldn't mingle FB user data 
> and WA user data, but they did; however the concern seems to have been 
> that the combined data store might have given FB too much market 
> power, but FB said it was told that this was not material to their 
> review.  In a separate matter, the EU is apparently considering 
> whether FB's changes to WA's privacy policy in 2016 raise any legal 
> concerns.)
>
> Here's a quote from an earlier interview with Mundt from the 
> Bundeskartellamt website, touching on the same subject.  I haven't 
> been able to find any transcripts or more detailed reports of Mundt's 
> speech at the Oxford Conference.  From what little I can find, it 
> appears Mundt was talking about unilateral behavior resulting in 
> antitrust violations, rather than merger antitrust analysis or 
> horizontal (oligopoly/cartel) behavior. This dovetails with Paul 
> Keating's point -- Mundt is talking about abuse of a dominant position 
> (so these particular concerns would be limited to the dominant 
> industry players). As you can see below, Mundt has voiced concerns 
> that " the use of illegal terms and conditions may constitute an 
> abuse, in particular, if the acceptance of these illegal terms follows 
> from the dominant position."  As such, he seems to be taking a broad 
> view of what constitutes "antitrust harm".
>
> *The Antitrust Source: *The Federal Cartel Office recently announced 
> that it’s initiating an antitrust investigation, a competition law 
> investigation of Facebook, for its data collection practices. And the 
> investigation suggests that your agency believes that antitrust 
> competition law may have a role to play in protecting the privacy of 
> consumers. I just want to make sure I understand that correctly. What 
> is the connection that you see between competition law and consumer 
> protection law in this regard?
>
> *Andreas Mundt:* It’s a pending case and therefore we can just share 
> some initial thoughts on it. We look at whether Facebook has abused 
> its possibly dominant position in the market for social networks with 
> its specific terms of service on the use of user data. We have 
> indications that Facebook’s conditions of use violate German data 
> protection rules. Of course, not every law infringement by a dominant 
> company is also relevant under competition law. But we have a ruling 
> by the Federal Court of Justice that there can be a link between the 
> violation of the law on general terms and conditions and the 
> assessment of exploitative abuse in the case of a dominant company. 
> According to this decision, the use of illegal terms and conditions 
> may constitute an abuse, in particular, if the acceptance of these 
> illegal terms follows from the dominant position. So what we have to 
> do in this case is to take a very close look at whether there is a 
> link between a data protection infringement on the one hand and the 
> abuse of market power of a dominant firm on the other. We are at a 
> very early stage. For the time being we will investigate the relevant 
> product market to see if Facebook is dominant here or not, and then we 
> will look at the possible link between the possible dominance and the 
> violation of data protection rules. By the way, it’s an administrative 
> proceeding so there are no fines at stake, of course. And this is a 
> case where we will cooperate very closely with the European 
> Commission, which we already did before we initiated the proceeding. 
> We will work closely with the national competition agencies in Europe 
> and of course with the data protection agencies in Germany, and maybe 
> in other countries.
>
> http://www.bundeskartellamt.de/SharedDocs/Interviews/EN/the%20antitrust%20source%20-%20Interview_with_Andreas_Mundt.html
>
> Here is a link to an article on the Oxford conference panel 
> (unfortunately, no quotes or transcript): 
> https://www.law.ox.ac.uk/news/2017-05-26-online-markets-and-offline-welfare-effects-internet-competition-society-and
>
>
> Greg
>
>
> On Tue, Jun 6, 2017 at 6:01 AM, Paul Keating <paul at law.es 
> <mailto:paul at law.es>> wrote:
>
>     They would have to show economic damage flowing from an excess of
>     market control.   Not likely unless you are the size of google.
>
>     Sincerely,
>     Paul Keating, Esq.
>
>     On Jun 6, 2017, at 11:36 AM, Volker Greimann
>     <vgreimann at key-systems.net <mailto:vgreimann at key-systems.net>> wrote:
>
>>     I am not sure you read the same article I did, but to me it
>>     suggested the exact opposite (emphasis added):
>>
>>     "Mundt’s words may have sounded mundane, but his implication was
>>     anything but: the world’s foremost antitrust regulators were
>>     publicly discussing /*whether they should intervene if a
>>     transaction weakens consumer privacy protections*/, a pervasive
>>     concern in the era of big data."
>>
>>     Best,
>>
>>     Volker
>>
>>
>>     Am 05.06.2017 um 16:49 schrieb jonathan matkowsky:
>>>     Interesting read. Thanks for sharing. This article would be a
>>>     reason to keep Whois publicly available without restriction. The
>>>     kind of private data mining analysis discussed in the article is
>>>     pretty much irrelevant though to the issues we are dealing with.
>>>
>>>     Jonathan Matkowsky
>>>
>>>
>>>
>>>     On Mon, Jun 5, 2017 at 5:35 PM, Carlton Samuels
>>>     <carlton.samuels at gmail.com <mailto:carlton.samuels at gmail.com>>
>>>     wrote:
>>>
>>>         ..its a competition issue, says the head of the German
>>>         antitrust agency.
>>>
>>>         https://www.wired.com/2017/06/ntitrust-watchdogs-eye-big-techs-monopoly-data/
>>>         <https://www.wired.com/2017/06/ntitrust-watchdogs-eye-big-techs-monopoly-data/>
>>>
>>>         -Carlton
>>>
>>>
>>>         ==============================
>>>         /Carlton A Samuels/
>>>         /Mobile: 876-818-1799 <tel:%28876%29%20818-1799>
>>>         Strategy, Planning, Governance, Assessment & Turnaround/
>>>         =============================
>>>
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>>
>>     -- 
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>>     Mit freundlichen Grüßen,
>>
>>     Volker A. Greimann
>>     - Rechtsabteilung -
>>
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>>     Volker A. Greimann
>>     - legal department -
>>
>>     Key-Systems GmbH
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-- 
Bei weiteren Fragen stehen wir Ihnen gerne zur Verfügung.

Mit freundlichen Grüßen,

Volker A. Greimann
- Rechtsabteilung -

Key-Systems GmbH
Im Oberen Werk 1
66386 St. Ingbert
Tel.: +49 (0) 6894 - 9396 901
Fax.: +49 (0) 6894 - 9396 851
Email: vgreimann at key-systems.net

Web: www.key-systems.net / www.RRPproxy.net
www.domaindiscount24.com / www.BrandShelter.com

Folgen Sie uns bei Twitter oder werden Sie unser Fan bei Facebook:
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Geschäftsführer: Alexander Siffrin
Handelsregister Nr.: HR B 18835 - Saarbruecken
Umsatzsteuer ID.: DE211006534

Member of the KEYDRIVE GROUP
www.keydrive.lu

Der Inhalt dieser Nachricht ist vertraulich und nur für den angegebenen Empfänger bestimmt. Jede Form der Kenntnisgabe, Veröffentlichung oder Weitergabe an Dritte durch den Empfänger ist unzulässig. Sollte diese Nachricht nicht für Sie bestimmt sein, so bitten wir Sie, sich mit uns per E-Mail oder telefonisch in Verbindung zu setzen.

--------------------------------------------

Should you have any further questions, please do not hesitate to contact us.

Best regards,

Volker A. Greimann
- legal department -

Key-Systems GmbH
Im Oberen Werk 1
66386 St. Ingbert
Tel.: +49 (0) 6894 - 9396 901
Fax.: +49 (0) 6894 - 9396 851
Email: vgreimann at key-systems.net

Web: www.key-systems.net / www.RRPproxy.net
www.domaindiscount24.com / www.BrandShelter.com

Follow us on Twitter or join our fan community on Facebook and stay updated:
www.facebook.com/KeySystems
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CEO: Alexander Siffrin
Registration No.: HR B 18835 - Saarbruecken
V.A.T. ID.: DE211006534

Member of the KEYDRIVE GROUP
www.keydrive.lu

This e-mail and its attachments is intended only for the person to whom it is addressed. Furthermore it is not permitted to publish any content of this email. You must not use, disclose, copy, print or rely on this e-mail. If an addressing or transmission error has misdirected this e-mail, kindly notify the author by replying to this e-mail or contacting us by telephone.



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