Press Release: EU Penalizes Apple and Meta for Violating Digital Markets Act
Brussels, [Date] – In a landmark decision, European Union regulators have imposed substantial fines on tech giants Apple and Meta for breaching the Digital Markets Act (DMA), aimed at fostering fair competition in the digital economy. Apple has been fined €500 million ($570 million), while Meta faces a fine of €200 million ($230 million).
The European Commission determined that Apple restricted app developers’ communication with customers regarding sales offers, an action deemed a violation of the DMA’s provisions. Meanwhile, Meta’s introduction of a “consent or pay” system enforced by its platforms, Facebook and Instagram, was ruled as coercive, as it compelled users to either allow personal data usage for targeted ads or opt for a subscription fee for an ad-free experience.
Despite ongoing trade tensions with the United States concerning tariffs and the war in Ukraine, there is a growing consensus on both sides of the Atlantic to rein in the market power of tech behemoths. The fines come as part of a broader scrutiny of significant players within the sector, including recent U.S. antitrust challenges against Google and ongoing legal battles facing Meta and Amazon.
In response, the Trump-era National Security Council condemned the ruling, characterizing it as economic extortion. Meta is expected to appeal the decision, arguing it unfairly burdens American companies while providing leniency to their Chinese and European counterparts. Apple has also announced plans to appeal, criticizing the EU for imposing operational changes that disadvantage its business model.
The fines are considered conservative compared to the DMA’s maximum penalties, indicating a cautious approach from EU regulators. Teresa Ribera, executive vice president of the European Commission, emphasized that compliance with EU laws is mandatory for all companies operating within the region. The tech giants now have 60 days to respond to the rulings or face escalating fines.
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