Business

EU Set to Hit Meta and Apple with Hefty Fines Over Digital Markets Act Violations on April 23

EU Commission Targets Tech Giants with First DMA Penalties

The European Commission is poised to make a landmark move by imposing its first penalties under the Digital Markets Act (DMA) on Apple and Meta this Wednesday, April 23. This decision, as reported by Handelsblatt, stems from allegations that these tech behemoths have been stifling competition and infringing on user rights.

Allegations Against Apple and Meta

According to the Commission, Apple has been accused of limiting competition through restrictive app store policies. Meanwhile, Meta faces criticism for not allowing users to opt out of data sharing, a practice that has raised significant privacy concerns.

Potential Consequences

The repercussions for these violations could be severe, with fines ranging from millions to hundreds of millions of euros. Additionally, both companies may incur daily penalty payments if they fail to amend their practices within a specified timeframe.

Background of the DMA Proceedings

The EU's formal proceedings against these 'gatekeepers' under the DMA began in March 2024. Despite the urgency of the matter, Commission President von der Leyen has reportedly delayed the decision multiple times, adding a layer of suspense to the unfolding scenario.