IEIM901110 - What is not a Platform
The definition of a Platform does not include software which exclusively allows
a) the processing of payments in relation to the provision of Relevant Activities (see 901500),
b) listing or advertising in relation to the provision of Relevant Activities, or
c) redirecting and transferring of users to a Platform,
providing that in each case there is no further intervention in the provision of goods or services.
For example, the following would not be considered to be a Platform as long as they do not do other activities that would bring them within the definition of a Platform:
- a website which merely lists various providers of services,
- a classified advertisement board,
- software that purely processes payments
- any software that simply aggregates or collects information from various internet sources.
Where a business uses a website, app or other software to exclusively facilitate the buying in of goods or services, i.e. it is the only buyer for a Seller’s goods or services, it is not enabling the Seller to provide Relevant Activities to multiple users or customers. The software is therefore not a Platform for the purposes of the reporting rules.
Likewise, where a business (or Platform Operator) buys goods or services in its own name directly via its own website or other software, the Seller is not providing Relevant Activities to third party users. In such situations the software will not be a Platform for reporting rules purposes.
Software that facilitates the design, maintenance and operation of merchant websites and offers a suite of associated services, including payment functions and back-office support is not a Platform as it does not allocate opportunities for Sellers to be connected to other users for the provision of Relevant Activities.