The European Union law, which came into effect on March 7, requires tech giants to make it easier for users to switch to other products and services, such as social networks, internet browsers and app stores, while protecting users' personal data.
EU antitrust chief Margrethe Vestager and European Internal Market Commissioner Thierry Breton hold a news conference in Brussels, Belgium March 25, 2024. Photo: REUTERS
Violations can result in fines of up to 10% of a company's global annual turnover.
While somewhat unclear, the DMA regulations aim to create “fairer” and “more competitive” digital markets by breaking up closed technology ecosystems that lock consumers into the products or services of a single company.
Six major tech companies, known as “gatekeepers” including Alphabet, Apple, Meta, Microsoft, Amazon and ByteDance, said they have deployed thousands of engineers to meet the requirements of the Digital Markets Act.
But the European Commission said on Monday it doubted the measures taken were effective enough to comply with the DMA.
So the investigation is looking at whether tech giants are complying with DMA regulations that require tech companies to allow app developers to direct users to software or apps available outside their app store platforms.
Google's competition chief Oliver Bethell said the company had made significant changes to the way it operates its digital services in Europe in recent times and would continue to defend its approach going forward.
Apple said it is fully compliant with the new law. "We are confident in our plans to comply with the DMA and will continue to cooperate constructively with the European Commission as it investigates," said Julien Trosdorf, an Apple spokesman.
Meanwhile, Meta spokesman Matt Pollard said the subscription model, which replaces advertising, is a long-standing business model across many industries. "We will continue to work constructively with the Commission," he said.
The EU executive aims to conclude investigations within a year, the timeframe set out under the DMA.
The EU investigations come amid growing criticism from app developers and business users about shortcomings in compliance efforts by big tech companies.
Mai Anh (according to Reuters)
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