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TMT - Technology, Media & Telecommunications

Hungary

Fuelled by increased consumer demand for cutting edge products and low-cost services, you face a constant battle to offer ‘more for less’. Innovation drives growth, provided you overcome significant regulatory and commercial hurdles. Having worked on a broad range of cutting-edge technology, media and communications matters in Central and Eastern Europe (CEE) over the past two decades, our market-leading specialists in the region have dealt with every risk and challenge you face in a rapidly evolving market, from IP infringement and anti-trust issues to the complex issues that arise as markets adapts to transformative technologies – big data, the cloud, e-health and the internet-of-things.

Many companies are also joining forces as they seek to meet highly capital-intensive demands for investment in technology and building networks. Our experts in CEE, many of whom have worked in-house in leading technology, media and communications companies, have led on a significant proportion of the limited number of network sharing arrangements that are in place across Europe.

CMS' lawyers are quick, accurate and have the expertise needed for quality legal work.
Chambers, 2019

We understand that technological convergence coupled with the rapid spread of new technologies has opened up a wealth of opportunities in your industry and you must move swiftly to capitalise on them. To stay ahead of the competition, you need to spot and pre-empt legal difficulties before they arise. From M&A to investment and financing, from tax to licensing and product liability, from intellectual property to employment and environmental issues, from network sharing to outsourcing, our multi-disciplinary teams can help guide you towards the most commercially successful outcome.

We are actively involved in the industries in which you operate including communication, technology, sourcing, sports and media, and are able to develop innovative solutions for you. Recognising the ever growing demand for and importance of data privacy, CMS has a dedicated data privacy team focusing on the full range of data privacy compliance matters, from privacy audits through to data security, transmission and management, as well as issues such as safe harbour and Big Data at both local and EU level.

The TMT Team in Hungary stands out as the largest team in the country. The vast majority of our team has experience in working both as in-house counsel of major TMT companies, as well as external legal counsel for major international law firms.

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31 July 2019
High­lights of ex­per­i­ence in TMT in Hun­gary
RTL Group on sig­ni­fic­ant, stra­tegic ad­vis­ory work re­lat­ing to the core op­er­a­tion of the group in Hun­gary, in­clud­ing com­plex me­dia reg­u­lat­ory, com­pet­i­tion, tax, re­struc­tur­ing and IP ad­vice.Liberty Glob­al...
CMS In­ter­act­ive Guide to On­line Gambling Reg­u­la­tion in Europe
CMS Ex­pert Guide to 5G
A glob­al over­view

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06 April 2021
EU is­sues draft of Di­git­al Mar­kets Act aimed at cre­at­ing a new and fair...
The European Com­mis­sion has pub­lished a draft pro­pos­al for a new com­pet­i­tion law frame­work for large on­line plat­forms, called the Di­git­al Mar­kets Act (DMA). The Com­mis­sion pro­posed the DMA due to the...
01 April 2021
Di­git­al Mar­kets Act: a new and fair busi­ness frame­work for large plat­forms
The European Com­mis­sion has pub­lished the draft pro­pos­al for a new com­pet­i­tion law frame­work for large on­line plat­forms, called the Di­git­al Mar­kets Act (the “DMA”). The reas­on the Com­mis­sion pro­posed the DMA is that a small num­ber of large on­line plat­forms cap­ture the biggest share of over­all value gen­er­ated in Europe’s di­git­al eco­nomy, and these plat­forms have emerged by be­ne­fit­ting from sec­tor char­ac­ter­ist­ics such as strong net­work ef­fects, of­ten em­bed­ded in their own plat­form eco­sys­tems. These plat­forms rep­res­ent the key struc­tur­ing ele­ments in today’s di­git­al eco­nomy, in­ter­me­di­at­ing the ma­jor­ity of trans­ac­tions between end users and busi­ness users. A few large plat­forms in­creas­ingly act as gate­ways or gate­keep­ers between busi­ness users and end users, and en­joy a long-term, en­trenched po­s­i­tion, of­ten as a res­ult of the cre­ation of con­glom­er­ate eco­sys­tems around their core plat­form ser­vices, which re­in­forces ex­ist­ing entry bar­ri­ers.The DMA deals with those large on­line plat­forms act­ing as gate­keep­ers in di­git­al mar­kets. The DMA aims to en­sure that:these plat­forms be­have fairly on­line;in­nov­at­ors and tech­no­logy start-ups will have new op­por­tun­it­ies to com­pete and in­nov­ate in the on­line plat­form en­vir­on­ment without hav­ing to com­ply with un­fair terms and con­di­tions that lim­it their de­vel­op­ment;con­sumers will have more and bet­ter ser­vices to choose from, more op­por­tun­it­ies to switch their pro­vider if they so wish, dir­ect ac­cess to ser­vices, and fairer prices. Who are the gate­keep­ers? Gate­keep­ers are core plat­form ser­vices which meet the qual­it­at­ive and quant­it­at­ive cri­ter­ia set out in the DMA. Core plat­form ser­vices in­clude on­line in­ter­me­di­ation ser­vices, search en­gines, so­cial net­work­ing ser­vices, video-shar­ing plat­form ser­vices, num­ber-in­de­pend­ent in­ter­per­son­al com­mu­nic­a­tion ser­vices, op­er­at­ing sys­tems, cloud com­put­ing ser­vices, ad­vert­ising ser­vices in­clud­ing any ad­vert­ising net­works, ad­vert­ising ex­changes and any oth­er ad­vert­ising in­ter­me­di­ation ser­vices, provided by a pro­vider of any of the core plat­form ser­vices lis­ted above.A core plat­form ser­vice qual­i­fies as a gate­keep­er, if:it has a sig­ni­fic­ant im­pact on the in­tern­al mar­ket, which is pre­sumed if it achieves an an­nu­al EEA turnover equal to or above EUR 6.5 bil­lion in the three pre­ced­ing fin­an­cial years, or where the av­er­age mar­ket cap­it­al­isa­tion or the equi­val­ent fair mar­ket value of the un­der­tak­ing to which it be­longs amoun­ted to at least EUR 65 bil­lion in the pre­ced­ing fin­an­cial year, and it provides a core plat­form ser­vice in at least three Mem­ber States;it op­er­ates a core plat­form ser­vice which serves as an im­port­ant gate­way for busi­ness users to reach end users, which is pre­sumed if it has more than 45 mil­lion monthly act­ive end users es­tab­lished or loc­ated in the Uni­on and more than 10,000 yearly act­ive busi­ness users es­tab­lished in the EU in the pre­ced­ing fin­an­cial year;it en­joys a long-term, en­trenched po­s­i­tion in its op­er­a­tions or it is fore­see­able that it will en­joy such po­s­i­tion in the near fu­ture, which is pre­sumed if the thresholds in point b) were met in each of the three pre­ced­ing fin­an­cial years.   What are the gate­keep­ers’ main ob­lig­a­tions? Do’s and Don’ts     What kind of tools and powers do the Com­mis­sion and oth­er bod­ies have? The DMA grants powers and dif­fer­ent pro­ced­ur­al rights to the European Com­mis­sion and es­tab­lishes the Di­git­al Mar­kets Ad­vis­ory Com­mit­tee for is­su­ing opin­ions in is­sues re­lated to the DMA.The DMA gives the Com­mis­sion the fol­low­ing powers:to des­ig­nate core plat­form ser­vices that meet the DMA cri­ter­ia as gate­keep­ers;to re­view ad-hoc the status of gate­keep­ers on re­quest or on its own;to re­view at two-year in­ter­vals the status of gate­keep­ers;to spe­cify meas­ures to be taken by gate­keep­er to com­ply with the DMA;to sus­pend cer­tain gate­keep­er ob­lig­a­tions un­der the DMA at a gate­keep­er’s re­quest, if the gate­keep­er demon­strates that com­pli­ance with that spe­cif­ic ob­lig­a­tion would en­danger its eco­nom­ic vi­ab­il­ity;to ex­empt a gate­keep­er from cer­tain ob­lig­a­tions un­der the DMA on the grounds of pub­lic mor­al­ity, pub­lic health or pub­lic se­cur­ity;to ini­ti­ate mar­ket in­vest­ig­a­tions:lower-ro­manto ex­am­ine wheth­er a pro­vider of core plat­form ser­vices should be des­ig­nated as a gate­keep­er;in­to sys­tem­at­ic non-com­pli­ance by a gate­keep­er;to ex­am­ine wheth­er cer­tain ser­vices in the di­git­al sec­tor should be ad­ded to the list of core plat­form ser­vices and identi­fy prac­tices that might lim­it the con­test­abil­ity of core plat­form ser­vices or might be un­fair.The DMA grants in­vest­ig­at­ive, en­force­ment and mon­it­or­ing powers to the Com­mis­sion dur­ing its pro­ceed­ings, based on which the Com­mis­sion is en­titled to:re­quest in­form­a­tion from any un­der­tak­ings and from the gov­ern­ments and au­thor­it­ies of EU mem­ber states;ac­cess data bases and al­gorithms;in­ter­view any private per­son or leg­al en­tity to col­lect in­form­a­tion re­lat­ing to the sub­ject-mat­ter of an in­vest­ig­a­tion;con­duct on-site in­spec­tions at the premises of any un­der­tak­ings, in­clud­ing to­geth­er with aud­it­ors and ex­perts;or­der in­ter­im meas­ures against a gate­keep­er on the basis of a prima facie find­ing of an in­fringe­ment of ob­lig­a­tions un­der the DMA;mon­it­or the ef­fect­ive im­ple­ment­a­tion and com­pli­ance with the ob­lig­a­tions un­der the DMA.   What will the sanc­tions for non-com­pli­ance be? If the Com­mis­sion ad­opts a non-com­pli­ance de­cision in which it finds that a gate­keep­er does not com­ply with one or more ob­lig­a­tions un­der the DMA, the Com­mis­sion may fine a gate­keep­er.The max­im­um amount of a fine is 10% of the total world­wide an­nu­al turnover of the gate­keep­er in the case of a ma­ter­i­al breach of the ob­lig­a­tions un­der the DMA, and a max­im­um 1% in the case of a less ser­i­ous breach of ob­lig­a­tions un­der the DMA.The Com­mis­sion is also en­titled to or­der peri­od­ic pen­alty pay­ments of up to 5% of the av­er­age daily turnover in cer­tain cases defined in the DMA.In the case of sys­tem­at­ic breaches of the DMA ob­lig­a­tions by gate­keep­ers, ad­di­tion­al rem­ed­ies may be im­posed after a mar­ket in­vest­ig­a­tion. Such rem­ed­ies will need to be pro­por­tion­ate to the of­fence com­mit­ted. If ne­ces­sary and as a last re­sort, non-fin­an­cial rem­ed­ies can be im­posed. These can in­clude be­ha­vi­our­al and struc­tur­al rem­ed­ies, e.g. the di­vestit­ure of (parts of) a busi­ness.   What are the next steps? The European Par­lia­ment and Mem­ber States will dis­cuss the Com­mis­sion’s pro­pos­al ac­cord­ing to the or­din­ary le­gis­lat­ive pro­ced­ure, which will take at least 18 months. Once ad­op­ted, the Act will dir­ectly ap­ply across the EU and the core plat­form ser­vice pro­viders will have six months to pre­pare for the new leg­al re­gime.We will con­tinu­ously mon­it­or the status of the le­gis­lat­ive pro­cess and keep you up­dated on any changes to the draft text of the DMA.
29 March 2021
CMS Ex­pert Guide to gambling laws in CEE
The gambling sec­tor is con­stantly evolving across CEE, in­du­cing reg­u­lat­ory changes that help shape and re­design the in­dustry. CMS is de­lighted to in­tro­duce this new com­pre­hens­ive ex­pert guide, The CEE...
Comparable
29 March 2021
EDPS & EDPB re­lease joint opin­ion on the Data Gov­ernance Act
On 10 March 2021, the EDPB and the EDPS re­leased their joint opin­ion on the Data Gov­ernance Act (DGA), the European Com­mis­sion’s Pro­pos­al for a Reg­u­la­tion on European data gov­ernance. The DGA is an...
24 March 2021
EDPB Guidelines on Vir­tu­al Voice As­sist­ants
The European Data Pro­tec­tion Board (EDPB) pub­lished its draft Guidelines 02/2021 on Vir­tu­al Voice As­sist­ants (VVAs), which are soft­ware ser­vices that take voice as an in­put, identi­fy and ex­ecute a com­mand...
19 March 2021
EDPB is­sues guidelines on Con­nec­ted Cars
After a pub­lic con­sulta­tion pro­ced­ure, the European Data Pro­tec­tion Board (EDPB) ad­op­ted and pub­lished the fi­nal ver­sion of Guidelines 01/2020 on the pro­cessing of per­son­al data in the con­text of con­nec­ted...
09 March 2021
New com­pet­i­tion tools for di­git­al mar­kets – Ger­man com­pet­i­tion law vs....
After the new Ger­man com­pet­i­tion law came in­to ef­fect in Janu­ary 2021, ma­jor di­git­al plat­forms are now af­fected by art­icle 19a of the Ger­man Com­pet­i­tion Act. Un­der art­icle 19a, the Ger­man com­pet­i­tion...
05 March 2021
CMS Ex­pert Guide: Data Law Nav­ig­at­or
Data provides a whole range of op­por­tun­it­ies but also in­cludes new and unique risks for com­pan­ies, gov­ern­ments and in­di­vidu­als. From sec­tor-spe­cif­ic nu­ances to loc­al derog­a­tions from the EU GDPR, sim­ul­tan­eously...
Comparable
23 February 2021
Coronavir­us Pro­tec­tion Cer­ti­fic­ate
The Hun­gari­an gov­ern­ment has just is­sued De­cree No. 60/2021 (II.12.) on the Cer­ti­fic­a­tion of Pro­tec­tion Against Coronavir­us, set­ting down de­tailed rules on how in­di­vidu­als can prove that they are pro­tec­ted...
04 March 2021
The Mo­bile Cen­tury 2021: The Fu­ture Re­ima­gined
Presen­ted by: CMS is de­lighted to be sup­port­ing the Glob­al Tele­com Wo­men’s Net­work (GT­WN) as spon­sor of the pub­lic­a­tion of its an­nu­al magazine, The Mo­bile Cen­tury, which will be re­leased on 4 March...
11 February 2021
CMS ad­vises OTP Mo­bile on stra­tegic fintech agree­ment
In­ter­na­tion­al law firm CMS has ad­vised OTP Group’s af­fil­i­ate OTP Mo­bile, a lead­ing Hun­gari­an on­line pay­ment plat­form, on a stra­tegic fintech co­oper­a­tion agree­ment with Raif­feis­en.   The new co­oper­a­tion...
28 January 2021
Data Pro­tec­tion in a post-Brexit world: what hap­pens to trans­fers to and...
When the Brexit trans­ition peri­od drew to a close at the end of 2020, the UK moved to a new data pro­tec­tion re­gime known as the UK GDPR but that isn’t the end of the story. At the same time, busi­nesses...