Case Analysis On Qihoo360v. Tencent Abuse Of Dominant Market

Competition mechanism is the basic mechanism of market operation, and thepurpose of antimonopoly law, as known as the Economic Constitution, is to restrainmonopoly and protect competition. However the externality and lock-in effect of theInternet makes monopoly behavior tying more simple and difficult to control. So howto deifne the relevant market effectively, treat the Internet Industry "tying" traditionreasonably, regulate network monopoly scientifically is in urgent need of legalpractice.Tencent company is China’s largest Internet company and has the most Internetusers, at the same time360Security Guard is the largest security software provider,Qihoo360is one of the three major domestic Internet companies. Since2010，the twocompanies has been carried out three lawsuits, Tencent accused Qihoo of unfaircompetition and commercial defamation, Qihoo accused Tencent of abusing dominantmarket position. In the abusing dominant market position case of Qihoo360v Tencent,how to deifne the relevant market, whether Tencent has a dominant market position,whether Tencent abused its dominant market position to eliminate or restrictcompetition became the the main focus. In this case the relevant product marketshould be the instant messaging market, the relevant geographic market should be theChinese mainland, while in the judgment the Guangdong High People’s Courtaccounted the relevant geographic market as the global market, that will undoubtedlycause great controversy and increase the difficulty in legal regulation of the Internetindustry monopoly. Tencent has the ability to control the relevant market, however,based on existing evidence can not conifrm its dominant market position, meantime,the behavior of Tencent that force users make an alternative choice，by its nature, is tosacrifice the interests of users for self-help which has beyond the limits of necessity.About the tying, although Tencent had forced its users to upgrade QQ software andsilent installed other sotfwares, the damage is still diffic’ult to conifrm，its necessaryto do further analysis and deifnition of the industry bundling behavior tradition inorder to coordinate legal regulation and industry traditions. As to the straits in theInternet monopoly identification, should ofrther ameliorate the relevant market andmarket dominance identification methods, make use of the system of reverse burden of proof properly, at the same time must strengthen the protection of consumers’interests.