ANATOLY GOLOMOLZIN: ACCESS TO INFORMATION SHOULD BECOME AN ESSENTIAL RIGHT

Deputy Head of FAS outlined the plans for 2020 on amendments to the law and approaches in antimonopoly regulation in the epoch of digitalization

Anatoly Golomolzin was a speaker at the RBC Annual Conference – “New Telecom 2019 in the digital epoch” where participants discussed the key amendments to the industry regulation as well as building up digital infrastructure and personal data.

He stated that “access of individuals to information and modern services should become an essential right in the digital epoch. It should be solved at the level of changes to the law”.

Deputy Head of FAS explained that “the Road Map on competition in telecommunications highlights a draft law on unobstructed access of communications and internet provides to apartment blocks. Choosing those providers must be first of all a direct right of the residents of such apartments. At the end of 2018, after in-depth consultations the relevant amendments were drafted and submitted to the State Duma upon an initiative of the Federation Council. The draft law, however, has not passed the first reading yet. Meanwhile, FAS continues receiving numerous complaints that cannot be addressed without changing the law. The problem must be attacked in 2020”.

Anatoly Golomolzin briefly described the efforts to eliminate entry barriers on the market of communications providers, which is especially important due to the forthcoming wide roll-out of 5G networks. He pointed out that under the Road Map on competition in telecommunications, it shall be tackled as a pilot project of FAS, the Moscow Government, Rospotrebnadzor [the Federal Service for Supervision of Consumer Rights Protection and Human Well-Being] and Rossvyaznadzor [the Federal Service for Supervision of Communications, Information Technology and Mass Media].

Deputy Head of FAS also talked about creating equal conditions for online and traditional retail, international and domestic e-commerce.  He highlighted the need to define the specifics of applying the antimonopoly law in the filed of intellectual property rights.

Anatoly Golomolzin emphasized the importance of devising the fifth, digital antimonopoly package that, in particular, clarifies the concept of the dominant position based on network effects, the specifics of merger and acquisition control in the new conditions, etc.

“The nature of violation is changing compared to the previous years. We used to talk more often about violations committed by communications providers, now the emphasis is shifting to breaking the antimonopoly law by digital giants.  FAS investigates and wins cases against companies that are in the TOP-5 in the world on capitalization. Dynamic changes on the markets of information technologies are typical in the modern epoch, network effects and low transactions costs have made the markets interrelated and global. Digital giants emerged and strengthened their positions: big data, digital algorithms, pools of intellectual property rights determine their conditions of market power in the dynamic and global world. It should be taken into consideration in the new approaches to market control, facilitating sustainable growth of the economy. Therefore, is essential to have efficient antimonopoly law that reflects the specifics of violations in the digital field and be able to expose and suppress or prevent violations on this sphere”, summed up Anatoly Golomolzin.

Background:

* № 204 Order of 07.05.2018 approved the National goals and strategic objectives of the Russian Federation till 2024 in the part of developing digital economy, particular, through creating a system of legal regulation of digital economy, based on flexible approach in each sphere, and civil-law transactions using digital technologies.

№ 618 Order of the President of the Russian Federation of 21.12.2017 approved 2018-2020 National Competition Development Plan. The order states that improving antimonopoly regulation under the conditions of developing digital economy and its globalization in order to efficiently suppress cross-border antimonopoly violations and increase competitiveness of Russian companies on the international markets is one of the fundamental principles of the state policy on competition development. Systemic measures also include development of exchange trade, eliminating digital inequality, particularly by abolishing roaming in Russia.

To execute the National Competition Development Plan, the Government of the Russian Federation passed № 1697-r Order of 16.08.2018 to approve the Action Plan (Road Map) on developing competition on 18 sectoral markets in 2018 - 2020.