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All Journal Indonesia Law Review (ILREV)
Diasti, Annisa Rahma
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Law, Crime, Criminology & Criminal Justice

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REGULATING DATA EXCLUSIVITY OF RIDE-HAILING SERVICE IN INDONESIAN COMPETITION LAW Diasti, Annisa Rahma
Indonesia Law Review Vol. 11, No. 3
Publisher : UI Scholars Hub

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Abstract

The digital ride-hailing service platforms have advanced significantly due to technological development. It resulted in lower consumer costs and better-quality service. Thus, consumers opted for such platforms more than the conventional transportation, resulting in their exponential growth over the years such as Gojek and Grab in Indonesia. Their strong market position was achieved quickly, facilitated by innovation advantages such as indirect network effects and algorithm-based analysis of users’ past data. Ultimately, data has become a barrier for potential competitors to entering the market. Simultaneously, the incumbents or the dominant market holders likely to use a technology-based strategy by keeping access to such data closed and inaccessible, maintaining their market position. Its strategy might fall under exclusionary abuse, a behavior that intends to protect and increase platforms’ dominant position. Thus, such action can be harmful to healthy competition and impede inclusive growth in ride-hailing services’ market competition. In this paper, the author will argue that refusal to grant data access should be regulated as a part of Indonesia Competition Law’s exclusionary conduct and remedied using mandated data portability.
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