News, Education and Events Decoding Digital Payments & Fraud

News, Education and Events Decoding Digital Payments & Fraud

European Parliament Aims to End Wholesale Blocking of E-Commerce Transactions by Country – Jan. 25, 2016

European Parliament Aims to End Wholesale Blocking of E-Commerce Transactions by Country

Jan. 25, 2016

European Parliament Aims to End Wholesale Blocking of E-Commerce Transactions by Country A new report from European Parliament could affect fraud-prevention efforts for e-commerce companies selling cross-border in Europe. Last week, Members of Parliament (MEPs) offered recommendations to the European Commission (EC) that would advance the Digital Single Market Act. The Act was proposed last year to foster innovation in online commerce. One of the MEPs first recommendations was not allowing companies to block online sales based on the country of origin. Many online merchants will not accept any transactions from certain countries because they have determined the risk of fraud is too high.

In addition to ending the practice of geo-blocking, which the MEPs said is harmful to consumers, Parliament wants the EC to focus on initiatives that will make it easier for companies, especially small and midsize ones, to leverage new technologies like Big Data analytics, cloud computing and the Internet of Things.

“Europe has already missed two waves of innovation,” said Industry Committee member Kaja Kallas, an MEP from Estonia and co-author of the report. “First social networks, then the sharing economy. If we don’t want to miss the next wave, we have to look to the Internet of Things, Big Data and machine-to-machine communication. They can radically transform our economy and our legislation needs to reflect that.”

The recommendations in the report will shape the initiatives of the Digital Single Market Act being debated by the EC and scheduled to be complete by the end of 2016.

  • Share this Article:

Daniel Leibovitch