Reacting After the Raid
A professor expresses skepticism about the Norwegian Competition Authority's investigation into two used car companies, Nettbil and Rebil, regarding potential collusion.
Norwegian professor Erling Hjelmeng has shared his views on the ongoing investigation by the Norwegian Competition Authority into Nettbil and Rebil, suggesting that the case seems relatively minor. He indicates that the authority's inquiry into the companies, which allegedly agreed not to bid on each other's brand names in Google ads, appears to lack substantial evidence that this practice has significantly restricted competition. Hjelmeng notes that proving the negative impact of these actions on market competition will likely prove to be a challenge for the authorities.
Further examining the implications of this investigation, Hjelmeng expresses his disappointment at the focus on what he deems less serious matters, stating that he had hoped the authorities would tackle more significant antitrust issues. The investigation raises important questions about competitive practices in the digital advertising sphere, where companies often navigate complex agreements and partnerships. As the authorities conduct their inquiry, the efficacy and scope of their enforcement actions remain in focus, particularly in relation to larger systemic market issues.
This case highlights the ongoing challenges faced by regulatory bodies in enforcing competition laws, especially in emerging sectors where traditional definitions of anti-competitive behavior may not fully apply. As the Norwegian Competition Authority continues its investigation, observers will be watching closely to see how they balance the need for robust competition with the realities of rapidly evolving digital markets, along with the fine line of legal interpretation and market behavior.