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Data-sharing in IoT Ecosystems from a Competition Law Perspective: The Example of Connected Cars

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  • Wolfgang Kerber

    (Philipps University Marburg)

Abstract

This paper analyses whether competition law can help to solve problems of access to data and interoperability in IoT ecosystems, where often one firm has exclusive control of the data produced by a smart device (and of the technical access to this device). Such a gatekeeper position can lead to the elimination of competition for after-market and other complementary services in such IoT ecosystems. This problem is analysed both from an economic and a legal perspective, and also generally for IoT ecosystems as well as for the much discussed problems of “access to in-vehicle data and resources†in connected cars, where the “extended vehicle†concept of the car manufacturers leads to such positions of exclusive control. The paper analyses, in particular, the competition rules about abusive behavior of dominant firms (Art. 102 TFEU) and of firms with “relative market power†(§ 20 (1) GWB) in German competition law. These provisions might offer (if appropriately applied and amended) at least some solutions for these data access problems. Competition law, however, might not be sufficient for dealing with all or most of these problems, i.e. that also additional solutions might be needed (data portability, direct data (access) rights, or sector-specific regulation).

Suggested Citation

  • Wolfgang Kerber, 2019. "Data-sharing in IoT Ecosystems from a Competition Law Perspective: The Example of Connected Cars," MAGKS Papers on Economics 201921, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    • Handle: RePEc:mar:magkse:201921
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    File URL: https://www.uni-marburg.de/fb02/makro/forschung/magkspapers/paper_2019/21-2019_kerber.pdf
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    References listed on IDEAS

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    1. Bertin Martens & Frank Mueller-Langer, 2018. "Access to digital car data and competition in aftersales services," JRC Working Papers on Digital Economy 2018-06, Joint Research Centre.
    2. Williamson, Oliver E, 1979. "Transaction-Cost Economics: The Governance of Contractural Relations," Journal of Law and Economics, University of Chicago Press, vol. 22(2), pages 233-261, October.
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    5. Wolfgang Kerber & Heike Schweitzer, 2017. "Interoperability in the digital economy," MAGKS Papers on Economics 201712, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    6. Itf, 2015. "Automated and Autonomous Driving: Regulation under Uncertainty," International Transport Forum Policy Papers 7, OECD Publishing.
    7. Wolfgang Kerber, 2016. "A New (Intellectual) Property Right for Non-Personal Data? An Economic Analysis," MAGKS Papers on Economics 201637, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    8. Wolfgang Kerber, 2018. "Data Governance in Connected Cars: The Problem of Access to In-vehicle Data," MAGKS Papers on Economics 201840, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    9. Schweitzer, Heike & Peitz, Martin, 2017. "Datenmärkte in der digitalisierten Wirtschaft: Funktionsdefizite und Regelungsbedarf?," ZEW Discussion Papers 17-043, ZEW - Leibniz Centre for European Economic Research.
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    Cited by:

    1. Daniel Rubinfeld, 2024. "Data portability and interoperability: An E.U.-U.S. comparison," European Journal of Law and Economics, Springer, vol. 57(1), pages 163-179, April.
    2. Nathalie Jorzik & Paula Johanna Kirchhof & Frank Mueller-Langer, 2024. "Industrial data sharing and data readiness: a law and economics perspective," European Journal of Law and Economics, Springer, vol. 57(1), pages 181-205, April.
    3. Matthias Förster & Bastian Bansemir & Angela Roth, 2022. "Employee perspectives on value realization from data within data-driven business models," Electronic Markets, Springer;IIM University of St. Gallen, vol. 32(2), pages 767-806, June.
    4. Pompeu Casanovas & Louis de Koker & Mustafa Hashmi, 2022. "Law, Socio-Legal Governance, the Internet of Things, and Industry 4.0: A Middle-Out/Inside-Out Approach," J, MDPI, vol. 5(1), pages 1-28, January.

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    More about this item

    Keywords

    data access; Internet of Things; data sharing; data access; competition; digital economy; connected cars;
    All these keywords.

    JEL classification:

    • K23 - Law and Economics - - Regulation and Business Law - - - Regulated Industries and Administrative Law
    • K24 - Law and Economics - - Regulation and Business Law - - - Cyber Law
    • L62 - Industrial Organization - - Industry Studies: Manufacturing - - - Automobiles; Other Transportation Equipment; Related Parts and Equipment
    • L86 - Industrial Organization - - Industry Studies: Services - - - Information and Internet Services; Computer Software
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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