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Apple, Meta and Google are under EU investigation. The tech giants are "suspected" of violating the new Digital Markets Act

Apple, Meta and Google are under EU investigation. The tech giants are "suspected" of violating the new Digital Markets Act
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If suspicions are confirmed, companies face fines of up to 10% of global annual revenue, or up to 20% in case of repeated violations.

As reported by The Verge, the European Commission has initiated five investigations into Apple, Google, and Meta's compliance with new EU antitrust rules.

"We suspect that the solutions proposed by the three companies do not fully comply with the Digital Markets Act," said EU antitrust committee chair Margrethe Vestager. "We are starting an investigation to ensure open and competitive digital markets in Europe."

The Commission will review Google and Apple's rules introduced in their app stores, as well as determine if Google favors its own services in search results. The browser choice screen on iOS and Meta's new "ad-free" subscription will also be examined. The investigation is planned to be completed within the next 12 months.

Additionally, EU regulators will study Apple's new App Store commission structure for distributing programs outside the store, as well as investigate if Amazon gives preferential treatment to its own products in the store. Meta has also been given 6 months to make Messenger compatible with other messaging services.

"We are not sure that Alphabet, Apple, and Meta are fulfilling their commitments to a fair and open digital space for European citizens and companies," said EU Commissioner Thierry Breton. "If our investigation concludes a lack of full compliance with the Digital Markets Act, companies may face significant fines."

  • The Digital Markets Act, which came into effect on March 7, introduces new antitrust rules for six so-called "gatekeepers" - large digital platforms providing online services (Alphabet, Amazon, Apple, Meta, Microsoft, and ByteDance).
  • Among other requirements, gatekeepers are obliged to allow customers to change default programs, use third-party app stores, and delete pre-installed apps; prohibitions include promoting their services in their own services ahead of competitors.
  • For the first violation, the European Commission can fine each company up to 10% of their annual global revenue, and up to 20% for repeated violations.

Previously, the EU fined Apple $2 billion following a complaint by Spotify of "blocking" alternative music programs, and the US Justice Department subsequently initiated its own antitrust investigation against the company.

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