Europe: Airbnb has challenged claims that it qualifies as a ‘gatekeeper’ under the EU’s Digital Markets Act (DMA), after being added to a compliance list earlier this month.
The European Commission designated 22 core platform services run by six major tech companies – including Alphabet, Amazon, Apple, ByteDance, Meta and Microsoft – as gatekeepers in September 2023. Airbnb was not included at that time.
However, in a 7 March update, the +commission said it had opened an investigation into whether the company’s core short-term rental service met the threshold to fall under the DMA’s remit. If designated as a gatekeeper, Airbnb would need to comply with stricter rules on transparency, data sharing and fairness in how it treats business users.
The DMA applies to companies with a significant impact on the EU market that provide a core platform service used by a large number of businesses and consumers. The Commission said it would investigate Airbnb’s user data and business practices over a five-month period to assess whether it meets the required criteria.
The challenge comes as the DMA officially came into force on 7 March, giving gatekeepers six months to comply. Penalties for non-compliance could reach up to ten per cent of a company’s global turnover.
Airbnb has previously stated that it supports the EU’s overall regulatory goals, but maintains that it operates differently to other major platforms on the Commission’s list. The company has also faced scrutiny from European cities over its role in rising housing costs and the availability of long-term rental stock.
A final decision on whether Airbnb qualifies as a gatekeeper is expected later this year.
