Request of Forlagsins ehf. for a review of the decision of the Competition Authority no. 8/2008 on the merger of JPV útgáfu ehf. and Vegamóta ehf.

In the decision of the Competition Authority no. 47/2017, Request of Forlagsins ehf. for a review of the decision of the Competition Authority No. 8/2008 Regarding the merger of JPV útgáfa ehf. and Vegamót ehf. The request from Forlagið ehf., the country's largest book publisher, for a review of the conditions imposed in the decision of the Competition Authority, is considered. No. 8/2008 Merger of JPV útgáfu ehf. and Vegamóta ehf.. As a result of that merger, the publishing house was formed in its current form as the country's most powerful book publisher, and conditions were imposed to eliminate the merger's harmful effects on competition. 

The Publisher has requested that the conditions be annulled or relaxed. The Publisher has objected to the definition of the market in the case and the assessment of the company's market share. Furthermore, the Publisher believes that Decision No. 8/2008 was based on incorrect premises, that circumstances have changed, and that the conditions also place a burden on the company's operations. 

The Competition Authority's current review of the book market shows that Forlagið's position has not fundamentally changed in recent years. Forlagið is still the largest book publisher in Iceland with a 45-50% share of the general book publishing market, and has approximately four times the share of the next largest publisher, Bjartur-Veröld. Furthermore, Forlagið has a wide range of publications compared to most other book publishers. It is therefore the conclusion of the authority's assessment that Forlagið still holds a dominant position in the book market. 

The Competition Authority therefore considers it important that the conditions, which are primarily concerned with the Publisher not using its strength against competitors and thereby harming competition, should remain in place. It is also significant that the majority of competitors who participated in the competition authority's survey believe that the conditions have contributed to increased competition and that there are no grounds for partially or fully revoking them. Furthermore, the regulator considers that the Publisher has not justified how the conditions actually constrain the company, or what potential impact their removal would have on it and others.