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MyCC Issues Proposed Decision against Grab for Abusive Practices

2019, Malaysia, Abuse of Dominance

The Malaysia Competition Commission ("MyCC") has issued a Proposed Decision against Grab Inc., GrabCar Sdn. Bhd. and MyTeksi Sdn. Bhd. (all hereinafter referred to as ‘Grab’) for collectively breaching section 10 of the Competition Act 2010. MyCC has provisionally found that Grab abused its dominant position by imposing a number of restrictive clauses on its drivers which prevented the drivers from promoting and providing advertising services for Grabs’ competitors in the e-hailing and transit media advertising market. The restrictive clauses had the effect of distorting competition in the relevant market that is premised on multi-sided platforms by creating barriers to entry and expansion for Grab’s existing and future competitors.