CMA investigation into Education Software Solutions Limited
First published by Author on November 08, 2022 in the following categories: Consumer Law Education Industry Market Dominance Abuse and tagged with cma | competition law | investigations | market abuse
The CMA is reportedly conducting an investigation into Education Software Solutions Limited (EES), looking into whether the company might be abusing a dominant market position in respect of changes to contracts.
The investigation that commenced earlier this year is still in the initial phases, and we are currently tracking updates and are potentially looking at the initial investigations being concluded toward the end of this year. The CMA has already had to extend its initial period of investigation due to the requirement to analyse additional information, so it may be that further time will still be required.
It goes without saying that, if the CMA concludes that a breach of competition law has taken place, swift and decisive action will need to be taken. As things stand, we do not yet know whether this is the case or not.
About the CMA investigation into Education Software Solutions Limited
The UK’s competition watchdog, the CMA (Competition and Markets Authority), published a notification earlier this year that they were reportedly conducting an investigation into Education Software Solutions Limited (EES).
The CMA is reportedly looking into where the EES may be abusing a dominant position when it comes to the supply of management information systems software. The CMA reports that the alleged abuse they are looking into may arise from customers being moved to longer contracts of three years without the allowance of an opportunity to avoid the change taking place, in absentia of alternative pricing methods.
The CMA is looking into whether the position that Education Software Solutions Limited has put customers in could amount to a breach of competition law. If they believe that a breach of competition law has taken place over the allegations that they are looking into, i.e. whether this is an abuse of a dominant market position, the CMA could then force changes and action.
As things stand, the CMA is yet to make a final determination, so they are currently looking into whether any alleged abuse has taken place or not. Such investigations can take a long time to conclude, so we will need to wait for further information as the investigation continues.
You can read more about the CMA investigation that we are covering in this article here.
Latest in the CMA investigations
As things stand, the CMA investigation into Education Software Solutions Limited recently confirmed that additional time was required to analyse information that has been provided as part of the ongoing case.
The CMA believes that it will be in a position to potentially complete its initial investigations toward the end of this year.
Another important matter to track
Many of the investigations that the CMA conducts are important to track, and this is another one that we will be keeping a very close eye on. As societies become more and more digitised, it has been essential for sectors across the country to make use of, and benefit from, software solutions. When it comes to publicly-funded sectors, such as the education sector, it is important that no companies are allowed to abuse any dominant position that they may have in the market.