UK law
CMA closes ESS case following developments in the market
The Competition and Markets Authority (CMA) opened its case into ESS in May, following concerns that ESS was taking action to prevent schools from switching to an alternative management information systems (MIS) provider. MIS databases handle student information, such as attendance and safeguarding. Schools had told the CMA that ESS had warned them not to share a copy of their database with a new provider, as doing so would breach ESS’ IP. Schools also highlighted that sharing database copies is normal in the sector, something ESS said it was unaware of. The CMA was concerned that without a viable method of sharing data, schools; ability to move to a new provider would be hampered. Although ESS did permit certain means of switching, they were complex. The CMA has now found that a considerable number of schools have managed to switch from ESS to new providers. In addition it has found that ESS’ share of the MIS market in England is declining, with its key competitor’s share increasing. Competitors and third parties have been developing ways to migrate schools’ data using tools that do not raise IP concerns with ESS. These methods are less burdensome on schools, less error-prone than previous options (and remove the need for sharing copies), and are expected to be in operation before March 2025 contract renewals. All of this means that the CMA’s intervention is not required and it does not believe that continuing to probe ESS would be beneficial. Therefore, it has closed its inquiry.
UK-Ukraine Digital Trade Agreement enters into force
The Department for Business and Trade has announced that the UK-Ukraine DTA entered into force on 1 September 2024. The DTA, which is part of a series of UK government’s digital initiatives to support Ukraine’s digital economy, seeks to enable faster and cheaper trade between the two countries, support Ukraine’s economy during the ongoing conflict and enhance tech sector collaboration.
Ofcom publishes evaluation of Twitch’s content classification labelling rules
Ofcom has assessed the impact of Twitch’s changes to its content classification labelling. The new labelling took effect in June 2023. Ofcom found that the accuracy of content labelling has improved significantly, because content creators must now apply a label if their streams contain certain themes. They are penalised if they fail to do so. According to Ofcom’s analysis, the mislabelling of streams as mature has decreased, However, the labelling rules did not materially change the type of content that creators produce or change how viewers behave in any material way.
CMA clears Microsoft / Inflection transaction
The CMA has announced that it has decided not to refer to a Phase 2 investigation under the provisions of the Enterprise Act 2002 Microsoft Corporation’s (Microsoft) hiring of former employees of Inflection AI, Inc (Inflection) and its entry into associated arrangements with Inflection, including a non-exclusive licensing deal that would allow Microsoft to use Inflection’s existing models.
EU law
Coimisiún na Meán launch consultation on revised Broadcasting Codes and Rules
Coimisiún na Meán has launched a consultation on revised Broadcasting Codes and Rules for radio and television broadcasters. The Codes and Rules are required to be updated to comply with the EU Audiovisual Media Services Directive (AVMSD). The AVMSD provides for minimum standards and obligations that media service providers must adhere to in a variety of areas, including child safety, the accessibility of their services, and the prohibition of content that incites hatred. The consultation ends on 3 October 2024.
