A PYMNTS Company

EU: Vestager warns against using algorithms for price collusion

By  |  March 16, 2017

Europe’s antitrust chief warned companies against using algorithms to block rivals or form cartels, saying she may slap heftier fines on them if they use such software to commit wrongdoing.

    Get the Full Story

    Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.

    yesSubscribe to our daily newsletter, PYMNTS Today.

    By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions.

    European Competition Commissioner Margrethe Vestager, who is poised to fine US technology giant Google in the coming months for using its algorithm to unfairly demote rival shopping services in internet search results, said she was vigilant to such illegal practices.

    “I don’t think competition enforcers need to be suspicious of everyone who uses an automated system for pricing. But we do need to be alert,” Vestager said at a conference organised by the German cartel office Bundeskartellamt.

    She pointed to the challenge of tackling sophisticated cartels which use software to fix prices and allocate markets among themselves to the detriment of customers and the economy, saying sanctions should reflect and deter this new tool used by companies.

    Full Content: Wall Street Journal

    Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.