Executive Summary:
The Ministry of Corporate Affairs (MCA) is addressing anti-competitive practices by BigTech companies through a Draft Digital Competition Bill (DCB). The MCA formed a Committee on Digital Competition Law (CDCL) following recommendations from the Parliamentary Standing Committee on Finance. Consultations were conducted with various stakeholders, and a report with the draft DCB was placed on the MCA website for public comment from March 12 to May 15, 2024.
Key Points / Main Content:
Consultation Process:
* The CDCL conducted consultations in March 2023 with industry associations, domestic and foreign digital enterprises, and think tanks. (List of stakeholders in Annexure I).
* The CDCL submitted its report with a draft DCB in February 2024.
* The report and draft DCB were available on the MCA website for e-consultation from March 12 to May 15, 2024.
* Over 100 stakeholders provided responses, including legal professionals, industry associations, civil society organizations, and domestic/foreign digital enterprises (List of stakeholders in Annexure II).
* The Ministry of Electronics and Information Technology (MeitY) held stakeholder discussions from June 18-20, 2024, and their comments are pending.
Ex-ante Regulation and Impact:
* Suggestions/inputs/comments received from all stakeholders have been examined.
* An evidence-based foundation through market studies is required to consider all relevant aspects for ex-ante regulation.
* The CDCL consulted with stakeholders and examined domestic and international regulatory practices.
* Consultations included representatives from trade and industry associations of small businesses, think tanks, and major tech firms.
Impact Analysis:
Small Businesses and Startups:
* Impact: The government has assessed the possible effects on small enterprises, especially startups, under the proposed ex-ante regulation.
* Action Required: Review the draft DCB and provide feedback during consultation periods.
Major Technological Firms:
* Impact: The bill may regulate their influence and practices.
* Action Required: Provide views/comments during consultations to mitigate concerns.
Digital Enterprises (Domestic and Foreign):
* Impact: Subject to potential new regulations on digital competition.
* Action Required: Review the draft DCB, participate in consultations, and provide feedback.
Industry Associations, Legal Professionals, Civil Society Organizations, Think Tanks:
* Impact: Their expertise and perspectives are considered in shaping the digital competition law.
* Action Required: Participate in consultations and provide feedback on the draft DCB.
Ministry of Electronics and Information Technology (MeitY):
* Impact: Their recommendations influence the direction of the bill, particularly regarding ex-ante provisions.
* Action Required: Finalize and submit comments/inputs from stakeholder discussions.
Key Entities Referenced
Draft Digital Competition Bill: A proposed law aimed at regulating digital competition in India.
Ministry of Corporate Affairs: The Indian government ministry responsible for corporate affairs and the administration of the Companies Act.
Ministry of Electronics and Information Technology: The Indian government ministry responsible for IT policy, electronics industry development, and internet governance.
Committee on Digital Competition Law: A committee constituted by the Ministry of Corporate Affairs to provide recommendations on digital competition law.
Parliamentary Standing Committee on Finance: A committee of the Indian Parliament that examines matters related to finance and economics.
Rajasthan: A state in India, mentioned in the context of mitigating concerns of major technological firms.
Shashi Tharoor: A Member of Parliament who raised a question regarding the Digital Competition Bill.
Pre-Legislative Consultation Policy: A policy framework followed by the Ministry of Corporate Affairs for consulting stakeholders before enacting legislation.
GOVERNMENT OF INDIA
MINISTRY OF CORPORATE AFFAIRS
LOK SABHA
UNSTARRED QUESTION NO. 91
ANSWERED ON MONDAY, JULY 21, 2025/ ASHADHA 30, 1947 (SAKA)
Current Status of the Draft Digital Competition Bill
QUESTION
91. Dr. Shashi Tharoor:
Shri Harish Chandra Meena:
Will the Minister of CORPORATE AFFAIRS
be pleased to state:
(a) the current status of the Draft Digital Competition Bill and the time
by which it is likely to be introduced;
(b) the details of stakeholders consulted under the Pre-Legislative
Consultation Policy;
(c) whether the Government plans to release the draft Bill for further
consultations and if so, the details thereof and if not, the reasons
therefor along with the steps taken to maintain a balance between
promoting innovation and regulating the influence of large digital
enterprises;
(d) whether it is correct that the Ministry of Electronics and Information
Technology has recommended to the Government that the ex-ante
provision in the proposed draft of the Digital Competition Bill be excluded
from the legislation at this stage;
(e) whether the Government has assessed the possible effects on small
enterprises especially start-ups under the proposed ex-ante regulation
along with the steps taken to reduce the unexpected outcomes; and
(f) the details of the safety measures proposed to mitigate the concerns
of major technological firms in Rajasthan and the country?
ANSWER
MINISTER OF STATE IN THE MINISTRY OF CORPORATE AFFAIRS AND
MINISTER OF STATE IN THE MINISTRY OF ROAD TRANSPORT AND
HIGHWAYS.
(SHRI HARSH MALHOTRA)
(a) to (d): Based on the recommendations of Parliamentary Standing
Committee on Finance in its Fifty-Third report on the subject “Anti-Competitive Practices by Big-Tech Companies”, the Ministry of Corporate
Affairs (MCA) constituted a Committee on Digital Competition Law (CDCL).
Consultations on the Draft Digital Competition Bill (DCB) were conducted
in consonance with the pre- Legislative Consultation policy (PLCP) of the
Ministry of Corporate Affairs (MCA) as under: -
• During March 2023, CDCL held consultations with entities and
stakeholders likely to be impacted by the proposed law including
industry associations, domestic and foreign digital enterprises and
think-tanks etc. List of stakeholders is placed at Annexure-I.
• Post consultation, CDCL submitted its report in February 2024
along with a draft Digital Competition Bill (DCB).
• Report of the Committee on Digital Competition Law (CDCL)
along with Draft DCB was placed on MCA website under the e-
Consultation mode from March 12- May 15, 2024. More than 100
stakeholders submitted responses, ranging from legal professionals,
industry associations, civil society organisations, and domestic &
foreign digital enterprises providing digital services in India. List of
stakeholders is placed at Annexure-II.
• Additionally, Ministry of Electronics and Information Technology
(MeiTY) organized stakeholder discussions between 18.06.2024 to
20.06.2024. The comments/inputs are awaited.
Suggestions/inputs/comments received from all stakeholders have been
examined. Based on the suggestions/comments/inputs received, it is felt
that an evidence-based foundation through market studies is required to
consider all relevant aspects for ex-ante regulation considering it is in
nascent implementational stages globally.
(e) & (f): The CDCL held consultations with key stakeholders and examined
both the domestic legal framework and the international regulatory
practices for regulation of digital services. Subsequently, during the
formulation of the draft DCB, consultations were held with several
representatives from trade and industry associations of small businesses,
think tanks and major tech firms to seek their views/comments.
Suggestions/inputs/comments received from all stakeholders have been
examined.Annexure-I
1. Amazon
2. Apple India Private Ltd.
3. Bundl Technologies Pvt Ltd. & Swiggy
4. Centre for the Digital future
5. Flipkart
6. Google
7. India Cellular and Electronics Association
8. Internet and Mobile Association of India
9. Meta (Facebook)
10. Oyo
11. Uber
12. USIBC
13. Zomato
14. All India Gaming Federation
15. Alliance of Digital India Foundation
16. Artha Global
17. Asia Travel Technology Industry Association
18. AZB & Partners
19. Confederation of All India Traders
20. Digital News Publishers Association
21. Esya Centre
22. Federation of Hotel & Restaurant Associations of India
23. Indian Council for Research on International Economic Relations
24. MakeMyTrip
25. Newspaper Association of India
26. National Restaurant Association of India
27. NASSCOM
28. Paytm
29. Twitter.Annexure-II
S. NO. NAME OF STAKEHOLDER
1. Niti Aayog
2. FIRST India
3. CCAOI
4. Swiggy
5. American Bar Association
6. E-Gaming Federation
7. US-India Business Council (USIBC)
8. India Cellular and Electronics Association (ICEA)
9. Skyscanner
10. ASSOCHAM
11. US-India Strategic Partnership Forum (USISPF)
12. Match Group
13. Founders and Investors of the Indian Digital Startup Ecosystem
14. Indian Governance and Policy Project (IGAP)
15. Play Games24*7 Private Limited
16. Nasscom
17. Luthra and Luthra Law Offices India
18. Tech Freedom
19. All India Gaming Federation (AIGF)
20. India Regulatory Practices Group LLP (IRPG)
21. Meta Platforms Inc.
22. Civis
23. Shilpi Bhattacharya, Professor, Jindal Global Law School (JGLS)
24. Centre for Competition Law and Economics (CCLE)
25. Amazon India26. India MART
27. Airtel
28. ACCESS Now
29. International Bar Association (IBA)
30. Broadband India Forum (BIF)
31. Indian Broadcasting and Digital Foundation (IBDF) & Indian Digital
Media Industry Foundation (IDMIF)
32. Coalition for App Fairness (CAF)
33. OLA Electric
34. The Dialogue
35. Internet Freedom Foundation (IFF)
36. International Center for Law & Economics
37. Motion Picture Dist. Association (India) Private Limited (MPA)
38. Indian Chamber of Commerce(ICC)
39. PRS Legislative Research
40. EBC Publishing Private Limited and SCC Online
41. MakeMyTrip India Private Limited
42. Alliance of Digital India Foundation( ADIF)
43. MAIT
44. TATA Digital
45. Progressive Policy Institute (PPI)
46. PhonePe Private Limited
47. Trilegal
48. Netflix
49. Zomato
50. Google
51. National Law Institute University, Bhopal
52. National Restaurant Association of India (NRAI)53. India Tech.Org
54. Induslaw
55. Digital News Publishers Association(DNPA)
56. Software Freedom Law Center (SFLC)
57. Internet and Mobile Association of India (IAMAI)
58. Hindustan Unilever Limited
59. Koan Advisory Group
60. ESYA Centre
61. PROSUS
62. CUTS international
63. DeepStrat Pvt Ltd
64. FICCI
65. Information Technology and Innovation Foundation (ITIF)
66. (ACT)The App Association
67. Anupam Sanghi & Associates (ASA)
68. Asia Internet Coalition (AIC)
69. Asia Travel Technology Industry Association (ATTIA)
70. Computer & Communications Industry Association (CCIA)
71. Indian Music Industry (IMI)
72. Microsoft
73. Confederation of Indian Industry (CII)
74. DMD Advocates
75. All India Chartered Accountant Society (AICAS)
76. Economists at Compass Lexicon (Justin Coombs, Kadambari Prasad,
Neha Georgie) and FTI Consulting (Avinash Mehrotra, Jincy Francis)
77. Centre for Internet and Society (CIS)
78. Sidharth Chauhan, Associate Professor and Associate Dean, Jindal
Global Law School, O.P. Jindal Global University
79. BTG Advaya
80. Rishab Bailey and IT for Change81. DSK Legal- Advocates and Solicitors
82. Truecaller
83. Dynamic Competition Initiative (DCI)
84. Touchstone Partners
85. Economic Laws Practice (ELP)
86. Data Security Council of India (DSCI)
87. Uber
88. Nabin Jain
89. Ruchika Gambhir(Researcher)
90. Abhivardhan (Indic Pacific Legal Research)
91. Rashmi Baranwal(Professional)
92. Abhishek Murukate
93. Vikas Kathuria(Researcher)
94. Jayshree Chandra(Professional)
95. Amey Kantak(Researcher)
96. Iqra Jabeen Ansari(LTIM)
97. Pankhudi Khandelwal (Dynamin Competition Initiative)
98. Blaise Fernandes(Indian Music Industry)
99. Jasleen Kaur(Professional)
100. Murugavel Janakiraman (Matrimony.com)
101. Ajay Kamath (Kamath Legal)
102. Akanksha G(Researcher)
103. Neil Bhutani (Dawesco LLP)
104. Vivek Agarwal
105. AMCHAM INDIA
106. People Group/Shaadi.com and others