India recalibrates digital competition rules to focus on Big Tech gatekeepers
The Ministry of Corporate Affairs is reviewing Digital Competition Bill thresholds to apply ex-ante obligations primarily to large global platforms, potentially limiting the scope for domestic startups. The study, launched in June, is expected to conclude by October.
What happened
Ministry of Corporate Affairs · India is recalibrating Digital Competition Bill thresholds to focus ex-ante obligations on global Big Tech gatekeepers while
Key facts
- Earlier proposed Indian turnover threshold: over Rs 4,000 crore
- Global turnover threshold: $30 billion
- Global market capitalisation threshold: $75 billion
- India GMV threshold: Rs 16,000 crore
- User threshold: 10 million end users or 10,000 businesses in India
- More than 100 stakeholder responses received in 2024
Why this matters
Strategic buyers should reassess platform-dependent targets and partnerships, as October’s proposed threshold changes may reshape bargaining power, distribution access and acquisition opportunities across India’s digital commerce ecosystem.
What to watch
- October completion and publication of the Ministry of Corporate Affairs study.
- Whether thresholds use India-specific user, revenue and transaction-volume tests, global size tests, or discretionary strategic-market-status designation.
- Explicit inclusion or exclusion of domestic marketplaces, food-delivery, payments, telecom and super-app platforms.
- Rules covering self-preferencing, anti-steering, app-store billing, data combining, default settings and interoperability.
- Competition Commission of India enforcement actions or court rulings involving Google, Apple, Amazon, Flipkart or major domestic platforms.
- Industry consultation language on startup exemptions, turnover thresholds and compliance timelines.
- Map dependence on Google Play, Apple App Store, major marketplaces and digital advertising platforms; quantify exposure to commissions, ranking changes and data-access restrictions.
- Prepare evidence on platform self-preferencing, most-favoured-nation clauses, tied services, ad-tech opacity and access to customer data for possible consultation submissions.
- Build direct-to-consumer channels, loyalty data and alternative acquisition partnerships to reduce reliance on designated gatekeepers.
- For marketplace operators, stress-test whether future designation criteria could capture domestic scale leaders and begin governance, interoperability and audit readiness.