Data as a barrier to entry and an essential facility: Law & Economics Analysis

Abstract: Within the context of the European Union Competition Law, a master's thesis entitled "Data as a Barrier to Entry and an Essential Facility: Law & Economics Analysis" conducts an in-depth investigation of the function that data plays in relation to competition law. The idea that data might be a valuable asset in the contemporary digital economy is presented in the very first part of the thesis. It illustrates the growing relevance of data in a variety of businesses as well as the potential for data to create entry barriers for new market competitors. The purpose of this thesis is to investigate the strategic use of data by businesses in order to achieve market domination and obtain a competitive edge. Further, the thesis analyzes the idea of an "essential facility" as it relates to the legal framework of EU competition law. It investigates the factors that determine what constitutes an essential facility and considers whether or not data can be categorized in this way. In this thesis, an analysis is performed to determine how competition authorities and courts have dealt with issues concerning access to data as an essential facility and the possible influence on competition in digital marketplaces. Using this background as a foundation, the thesis then goes into the application of EU competition law to solve the issues presented by data as a barrier to entry and an essential facility. It investigates how the current legal framework may be understood and implemented in the context of data-driven markets, and it provides an analysis of the relevant provisions. The case law and the function of competition authorities in the enforcement of competition law against data-related anticompetitive acts are investigated over the course of the thesis. In addition to a legal examination, this thesis also combines economic viewpoints to evaluate the significance of data as a barrier to entry and essential facilities. These perspectives are examined in conjunction with the legal analysis. The purpose of this study is to investigate various economic theories and models in order to get a better understanding of the implications that the concentration of data has on market competitiveness, innovation, and consumer welfare. The thesis investigates the economic advantages and disadvantages of applying these concepts to data. Also, it examines the possible benefits of boosting data availability and portability in order to increase competitiveness and innovation. In order to highlight the practical ramifications of data as a barrier to entry and essential facility, the thesis presents a number of different case studies and examples from the actual world throughout its whole. The thesis conducts an analysis of key cases, such as those involving dominant digital platforms, in order to get an understanding of how data-related concerns have been dealt within the framework of EU competition law. In conclusion, the thesis underlines the necessity for a complete strategy that combines legal analysis and economic insights to solve the issues presented by data as a barrier to entry and essential facility in accordance with EU competition legislation. This approach should be taken in order to meet the challenges posed by data as such. It gives ideas for policymakers, competition authorities, and legal practitioners on how to manage the complicated dynamics of data-driven marketplaces while simultaneously encouraging competition, innovation, and consumer welfare.