Last year under the Digital Services Act (DSA), the European Commission declared Amazon Store a Very Large Online Platform (VLOP), mandating it to provide public access to detailed online advertising data.
Amazon sought to annul this decision in the European Union’s General Court and requested interim measures. Consequently, the Court’s President ordered a temporary suspension of this requirement. This led the Commission to appeal to Europe’s highest court, the Court of Justice of the European Union (CJEU). Now, the Court of Justice has suspended the previous order of the General Court. Thus, the company will now be required to disclose information regarding its platform’s advertisements in a publicly accessible archive.
In the order, the Vice-President of the Court of Justice acknowledged Amazon’s claims that the EU law, demanding public access to their ad repository, potentially violates their privacy rights and business freedom, highlighting that these concerns are not irrelevant.
Nevertheless, the judge summarized that delaying DSA’s objectives due to Amazon’s appeal could adversely impact achieving the goals of regulations of a ‘Digital Single Market’. This could potentially lead to an online ecosystem that infringes on fundamental rights. Thus, the judge concluded that the EU’s legislative interests surpass Amazon’s concerns, thereby favoring the denial of the suspension request.
Turkey’s competition authority has enacted a provisional restriction on Meta, limiting data exchange between Instagram and Threads during an ongoing market abuse investigation. The interim measure now will be maintained until a definitive ruling is made.
The regulator had initiated the probe into Meta back in December due to potential competition law breaches and significant market damage from the data merging of Instagram and Threads. The regulator stated that the company’s data sharing communication across Facebook, Instagram, and WhatsApp lacked clarity and sufficient information. Additionally, the user prompts for data sharing approval were seen as inadequate for addressing competition issues.
Previously, on a separate matter, the Turkish authority had also imposed a daily fine of $148,000 on Meta for its data sharing notification practices.
The Payments Japan Association plans to create a new system this year, aiming to integrate JPQR, Japan’s standardized QR code payment system, with international providers, enabling international cashless transactions. JPQR enables transactions via different providers using one unified QR code, facilitating in-store purchases simply through smartphone scans. The Japanese Ministry of Economy, Trade, and Industry has already initiated talks with Southeast Asian governments and central banks and this initiative is set to begin by 2025.
Certain Southeast Asian nations, including Thailand and Indonesia, have standardized QR code payment systems managed by their central banks and adhered to by payment service providers. Moreover, in 2022, Singapore, Indonesia, Thailand, Malaysia, and the Philippines (ASEAN countries) signed an MOU to consolidate their QR payment systems, with some countries already using the service.
Japan’s pursuit of QR code payment systems interoperability seeks to fortify regional economic security and data usage, aiming to amplify its economic sway in Southeast Asia, while counterbalancing China’s intent to broaden its domestic digital payment platforms.
The Hong Kong Monetary Authority (HKMA) has announced the launch of a new stablecoin issuer sandbox arrangement. This initiative is part of the HKMA’s plan to regulate stablecoin issuers in Hong Kong. It aims to provide a platform to communicate supervisory expectations to parties interested in issuing fiat-referenced stablecoins in Hong Kong, and to gather feedback on proposed regulatory requirements.
Applicants who wish to participate in the sandbox arrangement must have a genuine interest in developing a stablecoin issuance business in Hong Kong, supported by a reasonable business plan. Under this arrangement, their proposed operations will be conducted within a limited scope and in a risk-controlled manner. Detailed information about the sandbox arrangement can be found in the Annex.
To ensure transparency, the HKMA will maintain an up-to-date list of the participants on its website, which will be regularly updated. This will allow interested parties to stay informed and up-to-date with the latest developments.
Mr Eddie Yue, Chief Executive of the HKMA, emphasized the importance of the sandbox arrangement as a platform for the HKMA and the industry to exchange views on the proposed regulatory regime. He noted that the arrangement will aid in formulating fit-for-purpose and risk-based regulatory requirements, which are crucial for promoting the sustainable and responsible development of the stablecoin issuance business.
On 1 March, during the extra day of negotiations, WTO Members gathered in Abu Dhabi for the 13th Ministerial Conference agreed to extend the current Moratorium on Customs Duties on Electronic Transmissions until the next ministerial meeting, or until 31 March 2026, whichever is earlier. In spite of that, this could be the beginning of the end of the Moratorium: this is likely to be the last renewal.
The negotiating positions on the Moratorium ranged from, on the one hand, OECD countries, some developing countries, and China, aiming to make the Moratorium permanent and, on the other hand, some developing countries led by India, Indonesia, South Africa and Indonesia requesting the end of the Moratorium.
In 2022, an extension was granted until MC13, but fears of another postponement of the Ministerial led Members to call for an explicit renewal by Ministers or by the WTO General Council if the Ministerial got delayed beyond 31 March 2024. This would prevent the Moratorium from sliding into permanence, revealing that the idea of non-renewal was by that time strongly held by some members.
Google plans to produce Pixel smartphones in India by the second quarter of this year, a strategic move in an attempt to diversify its supply chain and tap into India’s expanding smartphone market, thereby lessening its dependence on Chinese manufacturing.
The entrance of Google into India’s competitive and innovative smartphone market by producing Pixel smartphones locally is likely to shift dynamics and intensify competition. Through this move company aims to cater to Indian consumers and enhance its competitive edge over rivals like Apple and Samsung.
Google, Apple, and Samsung’s significant investments in India underscore the nation’s growing relevance as an alternative to Chain-based manufacturing. Moreover, India’s burgeoning smartphone sector, enabled by the country’s rapid economic growth and tech-oriented population, offers a huge market, incentivizing companies to consolidate their market position.
Waymo’s application to expand its robotaxi service in Los Angeles and San Mateo counties has been suspended for 120 days by the California Public Utilities Commission’s Consumer Protection and Enforcement Division (CPED). Company can still operate driverless vehicles in San Francisco, but further expansion is on hold until June 2024. According to the CPED, the application has been suspended for additional staff review.
Waymo clarifies that this suspension is a standard procedural step in the CPUC’s thorough review process. However, David J. Canepa, Vice President of the San Mateo County Board of Supervisors, contends that Waymo has failed to engage in meaningful discussions about expanding into Silicon Valley, prompting the CPUC to suspend the application. Canepa sees this as an opportunity to address genuine concerns regarding public safety.
Waymo currently operates a commercial service round-the-clock in San Francisco and is permitted to offer free driverless rides in certain parts of Los Angeles. In January, Waymo submitted a document to the CPUC’s Consumer Protection and Enforcement Division, seeking approval of its updated safety plan and an expansion areas where its robotaxi vehicles can operate.
Various entities, including the city of South San Francisco, the Los Angeles County Department of Transportation, and the San Francisco Taxi Workers Alliance, have expressed opposition to Waymo’s expansion plans.
According to Indonesia’s minister for small-medium enterprises (SMEs), Teten Masduki, TikTok continues to disregard Indonesia’s prohibition on in-app transactions. The minister stated, “The trade minister has to reprimand TikTok so that it complies with the regulation, if not then … the government’s authority is undermined.”
This comes after social media company gained control of the country’s largest e-commerce platform, Tokopedia, at $840 million, in order to relaunch its online shopping operations after a ban was imposed last year. TikTok Shop, the e-commerce service of the company, was forced to shut down in Indonesia due to the country’s ban on social media platform-based online shopping in the country’s attempt to safeguard the interests of smaller merchants and protect user data.
It remains to be seen how social media giant circumvents the increasing pressure to comply with legal requirements. With its 125 million user base in Indonesia, the country is an important market that can potentially generate substantial e-commerce revenue.
Meta plans to capitalize on the discontent among advertisers in its own conflict with Apple regarding in-app purchase fees by announcing its intention to transfer the 30% service charge imposed by Apple to its own customers. Starting later this month, advertisers who wish to promote a post in the Facebook or Instagram iOS app will now be billed through Apple where this additional charge will be applied.
Meta offers an alternative for advertisers to avoid the additional charge imposed by Apple by paying to boost posts from the web on Facebook or Instagram, accessible through both desktop and mobile browsers. However, it recognizes that customers may not perceive this as a convenient option since in-app purchases are the most convenient way to transact on Apple’s devices. Therefore, those who opt for in-app purchases will now incur higher costs.
By passing on the burden of Apple’s commission to advertisers, Meta hopes to garner public support and, ultimately, influence lawmakers and regulators to bring about a change in Apple’s business practices. The current commission rates and the introduction of the ‘core technology fee’ have also faced criticism from companies such as Epic and Spotify.
The US Trade Representative Katherine Tai has withdrawn longstanding US digital trade demands in World Trade Organization (WTO) talks, allowing the US Congress the space to regulate big tech firms, according to her office. United States administration’s 2019 proposals insisting on WTO e-commerce rules that promote free cross-border data flows and prohibit national requirements for data localization and software source code reviews have been revoked. Decision was made during a meeting of the WTO’s Joint Statement Initiative on E-Commerce in Geneva.
Senator Ron Wyden, who chairs the Senate Finance Committee, described the move as a “win for China,” claiming that it would strengthen China’s internet censorship and government surveillance model. On the other hand, some lawmakers, including Senator Elizabeth Warren, praised the withdrawal, as it rejects efforts by big tech lobbyists to exploit trade deals to undermine regulation.
The decision aligns with the current administration’s goal of strengthening regulation of large technology firms and reflects ongoing digital trade negotiations in the U.S.-led Indo-Pacific Economic Framework for Prosperity (IPEF) group. However, concerns have been raised about potential disadvantages for U.S. firms and the impact on international digital trade relationships. The U.S. Chamber of Commerce opposes the withdrawal, arguing that the digital trade principles, included in the 2020 U.S.-Mexico-Canada Agreement, have supported the success of U.S. tech firms globally. The U.S. remains an active participant in the WTO e-commerce talks.
