Brussels Effect

Despite its promise to make Europe’s digital economy fairer and more open, the Digital Markets Act has instead made life online slower, costlier, and more complicated for the very consumers it was meant to protect.

Brazil’s Digital Markets Bill promises to tame tech giants, but in reality, it threatens to import Europe’s flawed regulatory experiment—punishing innovation more than protecting consumers

The EU’s Digital Markets Act was sold as a blueprint for fairness and innovation. But instead of fostering competition, the DMA risks turning Europe into a regulatory island—more isolated, less competitive, and increasingly irrelevant on the world stage.

While the DMA may be motivated by Europe’s commitment to its long-held ordoliberal model of competition policy, its disproportionate effects on U.S. firms are intentional.

Shifting from evidence-based law enforcement to heavy-handed digital regulation could stifle the innovation Korea needs and lead to various unintended consequences. As the Korean proverb goes, it’s unwise to “burn down the hut to catch a bedbug.”

As the Digital Markets Act comes into effect, more jurisdictions are adopting similar laws to shoot for big tech targets, creating the “Brussels effect.”

As appetite for tech regulation continues to gain momentum, with more and more countries on the trail to adopt DMA-like rules, open questions abound about its potential impact on competition, innovation, and national technology competitiveness.

Looking for lower prices online? They may soon be harder to find. Blame it on the “Brussels effect”—the creeping influence of European-style regulation in the U.S. economy.