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Killer Acquisitions In Digital Markets: Rethinking Competition Law In India




Vrinda Vohra, Amity Law School, Amity University, Noida


ABSTRACT


This article examines the growing phenomenon of killer acquisitions within digital markets and evaluates their implications for competition law, with a particular focus on India. It argues that traditional antitrust frameworks— largely centred on price, output, and market share—are increasingly inadequate in addressing the unique dynamics of digital economies, where innovation, data control, and potential competition play a central role. The study highlights how dominant firms strategically acquire emerging competitors not for immediate gains, but to eliminate future threats, thereby reshaping market structures in ways that are often subtle, long-term, and difficult to detect.


The research adopts a doctrinal and analytical methodology, combining a review of global literature with case-based analysis of key Indian transactions such as Ola–TaxiForSure, Zomato–Uber Eats India, and Myntra–Jabong. It demonstrates that these acquisitions, while not always anti-competitive in appearance at the time of execution, have contributed to increased market concentration, reduced innovation incentives, and weakened competitive pressure over time. The article further identifies critical gaps in India’s merger control regime, particularly its reliance on asset and turnover thresholds, limited engagement with potential competition, and lack of robust tools to assess innovation harm and data- driven market power.


In response, the study evaluates recent reforms, including the introduction of deal-value thresholds under the Competition (Amendment) Act, 2023, and acknowledges their significance while arguing that they remain insufficient in isolation. It concludes that a paradigm shift is required in competition law—from a static, retrospective framework to a forward-looking, dynamic approach that integrates innovation, data, and future market evolution into merger analysis. By situating Indian developments within global regulatory trends, the article contributes to the broader discourse on adapting antitrust law to the realities of the digital economy and proposes the need for more proactive and nuanced regulatory interventions.



Indian Journal of Law and Legal Research

Abbreviation: IJLLR

ISSN: 2582-8878

Website: www.ijllr.com

Accessibility: Open Access

License: Creative Commons 4.0

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All research articles published in The Indian Journal of Law and Legal Research are fully open access. i.e. immediately freely available to read, download and share. Articles are published under the terms of a Creative Commons license which permits use, distribution and reproduction in any medium, provided the original work is properly cited.

 

Disclaimer:

The opinions expressed in this publication are those of the authors. They do not purport to reflect the opinions or views of the IJLLR or its members. The designations employed in this publication and the presentation of material therein do not imply the expression of any opinion whatsoever on the part of the IJLLR.

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