According to Li, the current Law on "Competition" needs modernization. The new version includes definitions of concepts such as antimonopoly compliance, buyer's compensating power, digital platforms, and network effects.
“Fifteen to twenty years ago, the word ‘internet’ was not found in official documents, but as time has shown, this phenomenon has become an important player in the market. Unfortunately, there will always be those who abuse this power for their own advantage,” he emphasized.
Given the growing popularity of marketplaces and other digital services in Kyrgyzstan, two terms from the new law are gaining particular significance:
- digital platforms
- network effects
The agency noted that large network aggregators control 93-97% of the entire market.
“A digital platform is directly related to certain actions. The law details the concept of network effects and emphasizes aspects that should be considered when analyzing the operations of aggregators and digital platforms. This will help identify how their actions can negatively impact the market, create barriers, and increase profits at the expense of other participants,” explained the Antimonopoly Regulation Service.
