Economists Urge Regulators to Rethink Data Power

Regulators have often treated large data holdings as a proxy for durable market power in digital markets. Economists Alexandre de Cornière of Toulouse School of Economics and Greg Taylor of the Oxford Internet Institute argue that this shortcut misses how data actually works. It can improve search, recommendations or logistics and sharpen competition for users, but it can also support targeted advertising or price discrimination that raises revenue without improving consumer outcomes. The competitive effect depends on the use and business model, not volume alone.

PYMNTS reported on April 14, 2026, that the economists, speaking in a Competition Policy International interview, urged enforcers to distinguish exclusionary harm from consumer exploitation and examine whether data can be traded before a merger. If data exchange is constrained or impossible, combining firms may align incentives to improve products and increase consumer surplus. Where data is readily traded, a deal may instead be used to restrict rivals’ access in adjacent markets. The research addressed no specific transaction and cited no deal value.