EU considers legal action against Apple, Meta for DMA breach

"DMA Breach"

The European Commission is potentially taking legal action against Apple and Meta over alleged breaches of the Digital Markets Act (DMA). These claims relate to the companies’ operations in Europe, showing the commission’s commitment to enforce the DMA rules strictly.

Apple is under investigation for its “steering” policies requiring developers to pay a fee if they direct customers toward third-party purchase options. Critics claim this requirement is not a fair business practice, prompting the investigation. The results from this inquiry could reverberate throughout the entire tech industry.

Meanwhile, Meta is facing its trouble due to business strategies under EU jurisdiction. The allegations center on anti-competitive behaviors and misuse of personal data. Critics argue Meta uses its monopoly to sideline competitors, which could lead to consumer choice limitations and hinder innovation. The EU is also investigating how user data is used in Meta’s advertising services.

EU’s legal threat to Apple, Meta over DMA violations

The European Commission intends to release initial findings, possibly giving the companies a chance to change their practices to steer clear of potential charges. The process’s ultimate outcome largely depends on their response to the findings and their willingness to adjust their business standards.

Reports indicate Apple may be the first to face charges, with details expected in the upcoming weeks. The timeline for Meta’s charges remains uncertain. No statements on this matter have been made by Apple, Meta, or the European Commission.

This situation stems from earlier European Commission investigations into DMA non-compliance involving leading tech corporations. Companies such as Alphabet, Amazon, Apple, ByteDance, Meta, and Microsoft have been designated as “gatekeepers,” required to follow rules for the ‘core platform services’ they provide to consumers. Non-compliance with DMA directives could result in hefty financial penalties, emphasizing the importance of adhering to European digital market regulations.