The Australian Competition and Consumer Commission has reaffirmed its commitment to tackle digital disruption.
Speaking at the West Australian Australian-Israeli Chamber of Commerce in Perth, ACCC Chair Rod Sims said platforms such as Facebook and Instagram are under investigation.
The move is part of the ACCC’s Digital Platform Inquiry.
“Consumers are facing powerful platforms like Google and Facebook whose business model is based on immense data-gathering powers which many of us fail to fully understand.
"We are exploring the implications for our privacy, our society and our democracy.
“Our inquiry will look at four key questions to work out how best to respond to the huge disruption posed by the emergence of these powerful platforms.”
These include questions such as:
- Do digital platforms have market power and how is that being exercised, and does this damage competition?
- Are digital platforms sufficiently transparent in the collection and use of consumer data? Are they complying with the Australian Consumer Law?
- Do digital platforms have an unfair competitive advantage due to the unequal treatment of regulation?
- Have digital platforms substantially changed media and advertising markets in Australia to the detriment of news, journalism and therefore Australia?
“It is clear that we need to look at the digital platforms through both a competition and consumer len," Sims said.
"Our experience as a competition and consumer regulator, and as a communication and general infrastructure regulator, and with the powers we have under this inquiry, means we have the right tools to complete this huge and fascinating task.”