In a signal that worldwide efforts to pursue regulation in the digital sector will not stop during the coronavirus crisis, Mexico’s competition authority (COFECE) announced its Digital Strategy on March 30.
While acknowledging that tech players are injecting needed competition into large domestic markets with high concentration levels, the agency’s statement sets out a five-point action plan for studying competition enforcement in the digital sector.
- Commission an expert study of legal and economic competition issues arising in the digital sector.
- Set up exchanges of information and ideas with competition experts from around the world.
- Bolster technical capacity and infrastructure for processing big data and understanding emerging technologies like AI.
- Establish a specialized Digital Markets Unit.
- Strengthen cooperation with regulators worldwide.
The authority’s plan is very much in line with steps that have been (or are currently being) taken by competition regulators in other major jurisdictions around the world. The timing of the announcement amidst the coronavirus crisis suggests that the tech sector should not expect a pause in ongoing efforts by governments to conduct sector analyses and market studies about increased regulation of the digital economy.