The German Facebook case
The law and economics of the relationship between competition and data protection law
Bibliographic Data
| ID | 21586432 |
|---|---|
| Authors | Wolfgang Kerber (0000-0003-1311-0383, Philipps University of Marburg), Karsten K Zolna (Philipps University of Marburg) |
| Year | 2022 |
| Volume | 54 |
| Issue | 2 |
| Pages | 217-250 |
| Publication date | 2022-10-01 |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | European Journal of Law and Economics (JOURNAL) |
| Journal identifiers | ISSN: 0929-1261 • E-ISSN: 1572-9990 |
| Publisher | Springer Science and Business Media LLC (PUBLISHER) |
| DOI | 10.1007/s10657-022-09727-8 |
| OpenAlex | W3174494533 |
| Language | EN |
| References cited | 44 |
Can competition law consider effects on privacy, or should privacy concerns of data-collecting behaviour only be dealt with by data protection law? In this paper, we analyse the German Facebook case, in which the requirement of giving consent to the combination of personal data from different sources was prohibited as exploitative abuse by a dominant firm. We show, from an economic perspective, that due to the simultaneous existence of two market failures (market dominance, information and behavioural problems) and complex interaction effects between both market failures and both policies in digital markets, a new, much more complex relationship emerges. Since the traditional approach of a strict separation of both policies is no longer feasible, a more integrative and collaborative policy approach for competition law and data protection law might be necessary. With respect to the substantive issue in the Facebook case, i.e. protecting a minimum standard of choice for consumers regarding their personal data vis-a-vis dominant digital platform firms, the recent decision by the German Federal Court of Justice in this case and the proposed Digital Markets Act have led to new perspectives for dealing with privacy concerns in competition law and new forms of ex-ante regulation
Business · Competition law · Consumer protection · Data Protection Act 1998 · Economics · German · Internet privacy · Law and economics · Market economy · Political science · Digital Platforms and Economics · Digitalization, Law, and Regulation · Law · Merger and Competition Analysis
| Highly cited | No |
|---|