South Africa: Published Competition Authority final report on the Online Intermediation Platforms Market Inquiry (OIPMI)

On 31 July 2023, the South African Competition Commission published its final report on the Online Intermediation Platforms Market Inquiry (OIPMI). The report includes remedial actions to enhance competition, visibility for smaller platforms, and fairness for businesses on online platforms. The investigation, conducted over two years, focused on business-to-consumer (B2C) online platform markets, identifying factors hindering competition and proposing actions to address them. Key findings include Google Search favouring established platforms, Booking.com's pricing restrictions limiting competition, Takealot's conflict of interest affecting sellers, Google Play and Apple App stores unconstrained commission fees charged to app developers, and Uber Eats and Mr D Food's lack of transparency on menu surcharges across platforms. Regarding Google, remedial actions involve changes in Google Search, pricing adjustments, separation of services, transparency improvements, and support for historically disadvantaged persons. Booking.com is required to remove restrictive pricing clauses from its contracts. Takealot is to segregate its retail division from its marketplace operations. Google Play and Apple App stores are required to stop preventing apps from directing consumers to pay on the app’s website. Uber Eats and Mr D Food are required to inform consumers that they charge restaurants a commission fee and that menu items may be priced differently to takeaway menus.