CHOICE supports introducing a new digital competition regime for key digital platforms, and the majority of the framework put forward by the Federal Government for the regime. Specifically, the process of designation, the broad and service-specific nature of obligations, and the enforcement and compliance framework are important elements to promote fair competition in the digital market. CHOICE also believes that the alignment of these measures to existing or proposed frameworks abroad will help the Australian digital competition regime implement learnings from other jurisdictions.
However, CHOICE also recommends a number of amendments to improve the effectiveness and strength of this regime and to protect consumers. A key characteristic of these recommendations is ensuring the regime is as broad, flexible, and enforceable as possible to effectively regulate large technology firms. CHOICE also urges the Federal Government to ensure consumer outcomes are the focus of the digital competition regime, centring consumer needs in the objectives of the regime.
Additionally, CHOICE believes that further economy-wide reforms are needed to protect consumers from harms caused by digital platforms. A digital competition regime alone is not sufficient to protect consumers from data breaches, invasions of privacy, dark patterns, unsafe goods and services, or unfair outcomes from artificial intelligence systems. Urgent action is needed to modernise our laws with a fair and reasonable use test in the Privacy Act, prohibitions on unfair trading practices and a general safety provision in the ACL, and mandatory guardrails on the use of artificial intelligence in high-risk settings.
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