Aamir Siddiqui / Android Authority
TL;DR
- With the Digital Markets Act (DMA) now in force in the EU, the European Commission is investigating Alphabet (Google), Apple, and Meta’s measures for compliance.
- Google and Apple are being investigated for their anti-steering compliance, as the DMA forces them to no longer prohibit businesses on their app stores from informing users of cheaper options.
- Meta’s “pay or consent” model for collecting data for its social media platforms is being investigated.
The European Commission’s Digital Markets Act (DMA) is one of the biggest sweeping regulations that targets Big Tech dominance in the EU region. Companies like Apple, Meta, and Google (Alphabet) have had to significantly change how they operate in the region. With the DMA now in operation, the European Commission is opening up investigations against Alphabet, Apple, and Meta for their seemingly half-baked measures at compliance.
As announced in a press release, the European Commission has opened non-compliance investigations against the three prominent Big Tech companies. More specifically, the Commission is looking into these practices:
- Alphabet’s rules on steering in the Google Play Store.
- Alphabet’s self-preferencing on Google Search.
- Apple’s rules on steering in the Apple App Store.
- Apple’s choice screen for Safari.
- Meta’s “pay or consent” model for using its services.
The Commission suspects that the companies’ measures to comply with the DMA fall short of effective compliance.
Under anti-steering provisions, the companies are not allowed to prohibit businesses operating on their platform from informing their users about cheaper options for purchase or subscription outside of this platform.
The Commission plans to conclude its investigations within the next 12 months. It will tell each company what must be done to address its concerns and what measures the Commission will take. If the companies are found guilty of infringement of the DMA, the European Commission can impose a fine of up to 10% of the company’s total worldwide turnover, going up to 20% in case of repeated infringement.
Further, the Commission has also launched investigatory steps relating to Apple’s new fee structure for alternative app stores and Amazon’s marketplace ranking practices.
Alongside, the Commission has given Meta an extension of six months to comply with interoperability obligations for Facebook Messenger.
Do you think all the mentioned companies have complied with the DMA fairly? Is the European Commission’s action heavy-handed? Let us know in the comments below!