Digital platforms and competition in Australia
24.07.2025 - 02:20
Our latest research in collaboration with Apple examines proposals to introduce an ex ante competition framework for digital platforms in Australia by assessing digital platform regulations in international jurisdictions. We find that jurisdictions that have implemented ex ante regimes have experienced implementation challenges, with consequences for users and the economy. This study highlights that the need for regulatory regimes to preserve the benefits delivered by platforms while maintaining the flexibility to adapt to rapidly evolving technologies.
Digital platforms are driving productivity and innovation across the Australian economy
- Tech sector labour productivity has grown 38% since 2007, far outpacing the national average of 14%
- By increasing tech adoption across small, medium and large businesses, digital platforms have transformed industries and driven innovation across the economy
- Australia's overall productivity has reached a 60-year low, making tech sector growth and and increased tech adoption critical
Treasury has proposed a new ex ante digital competition regime
- The proposal sets upfront rules for designated platforms without requiring evidence of harm
- The proposal outlines six areas which these rules would target, including interoperability requirements
- This would mark a departure from Australia’s current framework which has prioritised evidence based assessment of harms
International markets are adopting varied approaches to ex ante
- Some countries and regions (the EU in particular) have implemented ex ante measures for digital markets
- Others appear to be taking a ‘wait and see’ approach to ex ante, while some like the US see it as an unnecessary risk to innovation and investment
- The implementation of the EU’s Digital Markets Act has seen implementation challenges, with negative consequences for consumers and the economy
Government must weigh up the potential impacts of ex ante regulation
- There are no free lunches. Ex ante obligations targeting interoperability could require platforms to provide largely unfettered access to third parties, posing risks for privacy, safety and innovation
- There is emerging evidence that incentives for AI innovation have been distorted by ex ante obligations in the EU
- Regulatory frameworks must weigh up these challenges and remain adaptable to emerging technologies
Read the full report here.
Read our latest posts
Harnessing AI in the court system
Mandala’s latest research, commissioned by Microsoft, examines how AI can help Australian courts improve access to justice by reducing persistent case backlogs. We find that three promising AI applications (smart scheduling, document review and legal research support) could deliver around 95,500 additional case finalisations a year. These applications help courts manage existing workloads more efficiently, while reinforcing the integrity of court processes.
29 Oct, 2026
Rethinking the APR
Mandala's latest research, commissioned by Block, examines whether US credit disclosure requirements remain fit for purpose in a rapidly evolving lending market. Drawing on economic analysis, a survey of nearly 1,600 US consumers and small business decision-makers, and proprietary credit data, the report finds that Annual Percentage Rate (APR) disclosures can misrepresent the perceived cost of short-term borrowing and influence consumer choices. The report makes the case for modernising credit disclosure requirements, with a more flexible approach that better reflects different credit products while preserving consumer protection and access to credit.
15 Oct, 2026
The augmented attacker: the growing AI-driven cyber threat to Australian businesses
Mandala's latest research, commissioned by CyberCX (part of Accenture), shows that the AI-driven cyber threat to Australian businesses is growing. The report finds that AI could increase the frequency and severity of cyber incidents targeting Australian businesses. As AI-driven threats grow, Australian businesses could face losses reaching up to $37 billion a year. However, investing in foundational cyber defences such as patching known vulnerabilities could reduce annual losses from $37 billion to $13 billion, a $24 billion saving. Three-quarters of the savings are from preventative actions. The report highlights the actions required from businesses and government to improve cyber defence.
13 Oct, 2026
The Stagnant Nation: Lifting Australia’s Dynamism
Australians are going backwards on real wages and income. Real wage growth has fallen from 0.6 per cent in the 2000s to -0.7 per cent today, the slowest rate since the 1990s recession. Weak productivity growth is a key driver. Productivity growth has dropped from 2.2 per cent in the 1990s to just 0.1 per cent today. The Productivity Commission has pointed to declining economic dynamism as one cause for weak growth, with fewer businesses starting, growing and competing. We confirm declining economic dynamism across five key dimensions and estimate that reversing this decline seen since the mid-2000s could see a GDP uplift of $101 billion per year over the next decade. Our analysis finds that regulation could account for around 20 per cent of declining dynamism. Reducing regulatory burden to late-2000s levels could see GDP uplift of at least $20 billion per year over the next ten years.
7 Oct, 2026