EU crackdown on tech: European regulators have launched a sweeping crackdown on major technology companies, targeting Meta, Apple, and Microsoft over alleged breaches of the EU’s Digital Markets Act (DMA). The European Commission (EC), acting as the EU’s competition enforcer, has taken significant steps against these firms in recent developments.Meta, accused of failing to comply with DMA regulations in its new advertising model, faces scrutiny for allegedly coercing users into a binary choice regarding their personal data consent.
Meta’s personalisation concerns
The EC’s charges underscore concerns that Meta’s practices do not sufficiently offer users alternatives that are less personalised but functionally equivalent across its social networks.In a separate action, Apple has been charged with violating DMA rules through its App Store policies, which allegedly hinder app developers from steering consumers toward alternative offers. This follows a substantial €1.84 billion fine imposed on Apple in March related to a complaint from Spotify. The EC is also investigating Apple’s new contractual requirements for third-party app developers and app stores.
Microsoft’s bundle battle
Meanwhile, Microsoft is under fire for illegally bundling its Teams app with its Office suite, an allegation triggered by a complaint from Slack-owned CRM. The EU antitrust regulators are pushing for measures to disentangle these products to ensure fair competition.
Additionally, concerns have been raised about Microsoft’s compliance with EU merger rules regarding its investment in OpenAI, particularly regarding data privacy issues, despite OpenAI’s efforts to enhance the factual accuracy of its ChatGPT chatbot.These actions form part of broader efforts by EU regulators to rein in the market power of tech giants. Other ongoing investigations involve Google and concerns over their compliance with DMA regulations, reflecting a concerted effort to enforce stricter oversight in the digital marketplace across Europe.(With Reuters Inputs)
