Browsing by Subject "Online platform"

Online platforms have become a major actor in the EU Digital Single Market. They offer a wide range of services, such as social media and streaming services. The platform economy is in general perceived to have high growth potential in Europe. Despite the popularity and growth potential of online platforms, their regulation in the EU is fragmented. Online platforms are regulated on the EU level through, inter alia, the Electronic Commerce Directive. In addition, they might also be subject to regulation on a national level and in some cases, even on a local level. This fragmentation of the regulatory framework has resulted in an uncertainty of the applicable rules. addition, the regulatory environment of the EU is not favourable for online platforms to scale and develop in, which in turn has stifled innovation. The European Commission has addressed this issue in its various initiatives. As a response, it will publish a draft proposal on the new Digital Services Act in the fourth quarter of 2020 that will modernise the legal framework for online platforms. The purpose of this thesis is to examine how online platforms should be regulated on the EU level in light of the new Digital Services Act. This research is divided into two separate research questions: - How has the approach of the European Commission towards the regulation of online platforms evolved since 2015? - What kind of regulatory model should be adopted for the regulation of online platforms in the context of the upcoming Digital Services Act of the EU? In the first part of this research the author provides a background on the existing legislative framework applicable to online platforms. Policy papers by the European Commission are analysed in order to study its approach towards the issue. In the second part, the characteristics of different regulatory models are examined and their suitability for the regulation of online platforms in the context of the EU is analysed. The scope of research is narrowed down to the regulatory models of top-down regulation, co-regulation, self-regulation, transferring powers to existing regulatory authorities and creating a new centralised regulatory authority. Regarding the first research question, this study finds that the Commission has had an inconsistent approach towards the regulation of online platforms. It has highlighted the importance of platforms and their regulation but has avoided introducing concrete proposals until the Digital Services Act. Regarding the second research question, this study finds that online platforms are a new dynamic business model that top-down regulation is too inflexible to regulate. Taking into account the characteristics of online platforms and the division of competences in the EU, this study recommends co-regulation for the regulation of online platforms.