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Andreas Schwab Reflects on Calls for Dynamic Enforcement in Digital Markets Amid AI Integration

 |  April 22, 2024

Andreas Schwab, a member of the European Parliament, delivered the opening remarks at the inaugural European conference “Dynamic Competition in Dynamic Markets: Charting the Path Forward?” organized by CPI in collaboration with SDA Bocconi School of Management and held on March 22, 2024.

Mr. Schwab started off by highlighting the historical significance of balancing democracy and market dynamics, drawing from Germany’s experience with oligopolistic structures. He emphasized that open markets are essential for fostering open societies, while monopolistic markets pose a threat to democracy.

Mr. Schwab stressed the importance of dynamic enforcement measures tailored to the rapidly changing digital landscape. He underscored the need for immediate action in addressing potential anti-competitive practices, particularly in digital markets where delays could lead to irreversible consequences.


In the EU’s AI landscape, striking the right balance between ethics, trust, and competition is paramount.”

Andreas Schwab
Member, European Parliament

Schwab reiterated the significance of cooperation between the European Union and the United States in regulating digital markets effectively. He emphasized the need for a unified decision-making process within the European single market to navigate global competition challenges efficiently.

Transitioning to the intersection of competition law and artificial intelligence (AI), Schwab emphasized Europe’s proactive stance in regulating AI technologies while maintaining ethical principles and ensuring consumer protection. He highlighted the European Union’s pioneering efforts in enacting the AI Act, the first formal legislation dedicated to AI regulation.

Mr. Schwab emphasized the need for dynamic enforcement in rapidly evolving digital markets, particularly in the context of integrating AI technologies. Specifically, Schwab touched upon the regulatory challenges posed by big tech companies, particularly in the context of AI, since they have substantial resources to develop AI technologies, potentially leading to monopolistic behavior.

In this context, Schwab called for updating competition policy frameworks to address the unique characteristics of the digital economy and AI technologies, such as network effects and algorithmic decision-making.

Mr. Schwab concluded by reiterating the importance of balancing innovation and competition to ensure fair market dynamics. He emphasized the necessity of international cooperation and cross-sectoral expertise to effectively regulate digital processes globally.

Schwab’s remarks underscored the DG COMP’s commitment to promoting innovation, competition, and consumer protection in the digital age while navigating the complexities of AI integration. As Europe continues to lead the way in regulatory frameworks for AI and digital markets, dynamic enforcement measures remain crucial in ensuring fair competition and safeguarding democratic principles.