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
Decarbonising Australia’s road freight network
Mandala’s latest research, prepared for Energy Futures Foundation, sets out a policy roadmap for decarbonising Australia’s road freight network which could help to drive economic, environmental and social benefits. Emissions in the transport sector grew 0.3 Mt CO2-e in 2025. Emissions in all other sectors fell. Australia has a critical window to decarbonise its road freight network, but the current policy settings have Australia on the wrong track. A policy suite that targets cost, infrastructure and regulatory barriers could add an additional 1.5 million battery electric trucks to the road by 2050 and be cost neutral for the budget. Setting up the right policies now could deliver $138 billion in economic growth over the next 25 years, create 900 thousand jobs by 2050 and reduce emissions by 181 Mt CO2-e – equivalent to 41% of Australia’s 2025 annual emissions. These policies would also save 3,300 lives and reduce externality costs associated with heavy vehicles by $18.5 billion by 2050.
27 Mar, 2026
How EV adoption insulates Australia against oil supply shocks
Mandala’s latest research finds that the adoption of electric vehicles is helping to insulate Australians from the oil supply shocks. This analysis looks at the contribution of Australia’s electric vehicle fleet to our petrol reserves, as well as the savings in fuel costs for Australian households.
16 Mar, 2026
Shaping the Australian banking system for a changing economy
Mandala’s latest research, prepared for the Commonwealth Bank of Australia, finds that Australian banking has been transformed beyond recognition by technology, globalisation, and regulatory change. However, policy has not kept pace. Major banks now face a shrinking revenue base while providing a growing suite of collective goods including regional branches, ATM networks, and payment infrastructure, that comparable financial institutions are not required to provide. The report finds that declining profitability and an uneven regulatory playing field amid rising geopolitical uncertainty place Australia's financial resilience at risk. It recommends three principles for policymakers to shape Australia’s banking system to best serve our national interest. First, consider system-wide impacts of policy settings. Second, apply the same obligations to firms conducting the same activities with the same risk. Third, assess how overseas firms operating in critical parts of the financial system would behave in a crisis.
15 Mar, 2026
The Fragmentation Tax
Australian retailers operate across a patchwork of inconsistent state and territory regulations that, left unchecked, will cost the economy $26 billion and households $9.4 billion over the next decade. Commissioned by the Australian Retail Council, this Mandala report finds that regulatory fragmentation in retail - Australia's second-largest employer, generating $649 billion in economic activity annually - is compounding the country's productivity crisis at the worst possible time. The report identifies specific issues in transport and logistics, and packaging and waste as priority areas for reform, where harmonisation alone would inject up to $1.65 billion into the economy over 10 years. It recommends the Federal Government use its National Competition Policy framework to drive reform - including a $260 million increase to the National Productivity Fund, a new National Harmonisation Council, and a mandate that Regulatory Impact Statements explicitly quantify fragmentation risks.
23 Feb, 2026