Regulating Big Tech: The Proposed Digital Competition Bill 2026 and its Implications

The rapid expansion of India’s digital economy has necessitated a shift in regulatory philosophy from reactive to proactive measures. The proposed Digital Competition Bill, 2026, marks a significant departure from the existing Competition Act, 2002, by introducing "ex-ante" regulations. While the current framework penalizes anti-competitive behavior after it occurs (ex-post), the new bill seeks to prevent such practices before they manifest. Central to the bill is the designation of certain large tech firms as 'Systemically Significant Digital Enterprises' (SSDEs). These entities will be identified based on specific quantitative thresholds, such as turnover, market capitalization, and user base in India. Once designated, SSDEs must adhere to a set of strict obligations to ensure they do not leverage their dominant positions to stifle competition.