Contact Us


Disruptive Competition Project

655 15th St., NW

Suite 410


Washington, D.C. 20005

Phone: (202) 783-0070
Fax: (202) 783-0534

Contact Us

Please fill out this form and we will get in touch with you shortly.
Close

No, standalone software isn’t a “product”

· March 10, 2022

Categories

black flat screen computer monitor

Should a piece of software and a fountain pen have to follow the same product safety obligations? Some European policymakers want to include all online standalone items in the scope of the new product safety rules

The European Commission proposed new rules for the safety of products in mid-2021. The General Product Safety Regulation (GPSR) proposal covers the new technological concerns arising from products that can harm consumers, e.g. cybersecurity, embedded software, or Artificial Intelligence. One could argue that these specific concerns would be better tackled in other dedicated initiatives such as the EU cybersecurity rules or the new EU AI Act

Some European lawmakers in the Council and the Parliament are now considering extending the GPSR proposal much further, to cover intangible or digital items, regardless of their interaction with a physical product. That means that any standalone software would be required to meet the same safety obligations as any product. For example, the same product safety rules would apply to a piece of code and a pair of socks. This is misguided. 

This proposition should be properly considered as it goes far beyond the Commission’s original proposal. Two elements for policymakers to consider: 

  • EU product safety rules are based on the protection of the safety and health of consumers. For example, that notably entails personal injuries or property damage. Standalone software, such as an app, is very unlikely to cause that type of harm to consumers. 
  • The new product safety proposal was written with tangible products in mind. Its definitions and obligations do not apply to standalone software. Should a software developer be considered a manufacturer? How would the definition of a safe product apply to software? Would software have to comply with EU labelling, appearance, or packaging requirements? Would “software manufacturers” have to write technical documentation or give a batch number to their software? The GPSR is clearly not meant to oversee the safety of software.

Forcing the GPSR to include a host of intangible items would create unnecessary confusion and inconsistencies. European policymakers should rather stick to the proposal’s original scope to ensure that the GPSR can achieve its objectives of modernising the EU product safety framework for both European consumers and businesses.

European Union

DisCo is dedicated to examining technology and policy at a global scale.  Developments in the European Union play a considerable role in shaping both European and global technology markets.  EU regulations related to copyright, competition, privacy, innovation, and trade all affect the international development of technology and tech markets.