Technology, Media & Communications

Commission Publishes The Infringement Decision In Video Games For Geo-Blocking

On August 23, 2022, the Commission published its full decision in Video Games, fining Valve (the owner of the online PC gaming platform Steam) and five PC video game publishers (Bandai Namco, Capcom, Focus Home, Koch Media, and ZeniMax) a total of €7.8 million for restricting cross-border sales of PC video games.[1] The Commission found that the agreement between Valve and the video game publishers, which prevented gamers from activating certain PC videogames purchased in eight Member States where prices are generally lower than in other Member States (so-called “geo-blocking”), breached Article 101 TFEU.

In the second episode of Cleary Gottlieb’s Antitrust Review podcast, a panel of Cleary Gottlieb partners discuss the achievements to

On August 5, 2022, the Italian Parliament adopted Law No. 118, the “2021 Annual Competition Law” (the “ACL”). The ACL, which will enter into force on August 27, 2022, amends the Italian Competition Law (Law No. 287/90) in various respects.

The UK Competition Appeal Tribunal (CAT) on 8 August 2022 set aside a £17.9 million fine against price comparison website Compare The Market, criticising the Competition and Markets Authority’s (CMA) legal and evidential assessment of the case.  The CAT found that the CMA’s “anecdotal evidence[1] failed to prove that Compare The Market kept home insurance premiums artificially high by using most favoured nation clauses (MFNs) in its contracts with insurance providers.  The CMA has said it is disappointed with the CAT’s ruling and is considering its options, including a potential appeal.

In a significant judgment rendered on July 13, 2022 (“Judgment”), the EU’s General Court validated the position taken by the European Commission (“EC”) in a March 2021 Guidance Paper encouraging national competition authorities (“NCAs”) to use Article 22 of the EU Merger Regulation (“EUMR”) to refer transactions to the EC that do not meet national merger control thresholds, but which they believe may threaten to significantly affect competition within the EU.

On July 18, the European Council approved the final text of the DMA, marking the final step before the DMA enters into force.  This followed the European Parliament approving, on July 5, the final text of the Digital Markets Act (DMA), by 588 votes to 11.  The DMA is likely to enter the EU’s Official Journal in October, which means the behavioural rules will kick in early-to-mid 2024.