Part 1: Digital Markets Power to designate undertaking as having SMS Section 3: Digital activities
This section sets out what constitutes a digital activity for the purposes of Part 1 of the Act.
	Under subsection (1), a digital activity is the provision of a service by means of the internet, the provision of digital content, or any activity which is being carried out for the purposes of providing an internet service or digital content. Digital content is defined in section 330.
	Under subsection (1), the provision of a service by means of the internet and the provision of digital content include services and digital content that are purchased and those that are delivered free of charge to users. Examples are social media platforms and e-commerce platforms. Paragraph (b) of subsection (1) does not restrict how digital content should be provided, meaning that the provision of digital content would include digital content, such as software, which is pre-installed on a device.
	Subsection (2) sets out what "by means of the internet" includes for the purposes of section 3. It includes services provided by the internet as commonly understood, as well as services provided by a combination of the internet and electronic communication services as defined in section 32(2) of the Communications Act 2003. For example, a service which is partly made available over the internet and partly by routing through the public switched telephone network would count as an internet service. This includes services accessed by a mobile phone application as well as those accessed via an internet web browser.
	Subsection (3) gives the CMA the power to treat multiple digital activities carried out by a single undertaking as a single digital activity. For different activities to be grouped together, they must either:
Have substantially the same or similar purposes; for example, a social media provider offering a number of internet services under different brands with a common function, allowing users, such as advertisers and publishers, to interact and communicate with each other, or
Be able to be carried out together to fulfil a specific purpose; for example, services and products that are part of the same supply chain, such as services selling advertisements and the provision of an advertising platform.
	Subsection (4) sets out that where the CMA is required to give or publish a notice or other document under Part 1 of the Act, it may describe the digital activity by reference to the nature of that activity, brand names, or a combination of these.