- Brazil is advancing two digital platform regulation proposals: Bill No. 2,768/2022 and a 2024 proposal from the Ministry of Finance.
- The 2022 bill targets platforms with annual revenues above BRL 70 million and integrates regulation into telecom and internet laws under ANATEL.
- The bill is criticized for vague goals, lack of clear definitions, and broad discretionary authority for ANATEL.
- The 2024 proposal is more structured, embedded in competition law, and designates CADE as the lead authority.
- It targets “systemically relevant” platforms based on criteria like market power and data control.
- Obligations are imposed after a two-step process, with potential sanctions up to 20 percent of Brazilian turnover.
- The proposal involves coordination between CADE, ANATEL, and the data protection authority.
- U.S. technology leadership in Latin America could be weakened by Brazil’s regulations due to high-risk enforcement and liability exposure.
- U.S. firms may face compliance burdens and defensive strategies due to regulatory fragmentation.
- The framework could deter operating at scale and set a precedent for overregulation in other emerging economies.
Source: itif.org
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
