The Danish competition authority, along with the Sø- og Handelsretten (Maritime and Commercial Court), has ruled that FK Distribution abused its dominant market position. This ruling allows customers to freely choose where to purchase digital advertising services, following FK Distribution's previous requirement to bundle these services with physical distribution.

FK Distribution became the sole nationwide distributor of unaddressed mail after PostNord ceased physical distribution. Subsequently, FK Distribution imposed a condition that physical distribution could only be purchased alongside digital advertising services, which was deemed illegal and anti-competitive.

This practice hindered competitors operating digital platforms for advertising, forcing major customers to deal with FK Distribution even if they preferred alternatives. The ruling highlights the significant impact of FK Distribution's actions on the growing digital advertising market.

The court's decision confirmed the competition authority's thorough examination of the case, despite dissenting opinions regarding market definition and the competitive effects of FK Distribution's behavior. This case is notable as it marks the first instance in Denmark where a major player has leveraged its strength in a traditional market to fortify its position in a burgeoning digital market.

FK Distribution's misconduct occurred between 2018 and October 2019, during a period of decline in the unaddressed mail distribution market, while the digital advertising platform market was expanding. The two markets are interconnected, as many advertisers operate in both.

The case was initially appealed to the Competition Appeals Board, which upheld the competition authority's decision in April 2021. The competition authority has also referred the case to the police for potential criminal prosecution, pending the court's ruling.