The Australian Competition and Consumer Act 2.0: Is the New Concerted Practices Prohibition an Effective Patch to Address Algorithmic Collusion?

Pricing algorithms can be deployed as a tool to facilitate collusion and therefore cause consumer harm. Where this happens, the conduct may not necessarily involve a “contract,” “arrangement” or “understanding” which had to be proven to establish an infringement of the former section 45 of the Australian Competition and Consumer Act 2010 (Cth). In November 2017, the CCA was amended to prohibit concerted practices that have the purpose or effect of substantially lessening competition.