The Indian government is progressing on the Digital Competition Bill but not in a hasty manner. Minister of State for Corporate Affairs Harsh Malhotra has highlighted the requirement of more deliberations and considering best practices elsewhere such as in the EU, Japan, and Australia. The bill seeks to ban anti-competitive behavior by digital tech titans, specifically those that have been classified as Systematically Significant Digital Enterprises (SSDEs).
The key aspects are:
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Preventing Self-Preferencing: SSDEs will be prevented from giving preference to their own services over others.
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Ex-Ante Approach: The regulations will be anticipatory, seeking to avoid violations beforehand.
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Associate Digital Enterprises (ADEs): These too will be regulated to prevent information sharing issues.
The finalization of the bill is anticipated in the second half of FY26 to ensure that it encourages fair competition without discouraging innovation.
Source: Business Standard.