From Demoting To Squashing? Competitive Issues Related to Algorithmic Corrections: An Application to the Search Advertising Sector

By Frédéric Marty

To what extent can algorithmic corrections made by dominant operators expose them to competitive procedures? The opacity of the algorithms used to adjust auction results on keywords for search-related ads can lead to lawsuits based on alleged algorithmic manipulations. Such corrections are necessary to ensure the quality of the advertisements displayed. However, they can be the source of exclusionary or exploitative abuses. In such a context, competition authorities must avoid both false positives and false negatives.

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