Apple Fights EU’s Digital Markets Act, Demands Repeal
▼ Summary
– Apple has formally demanded that the European Union repeal the Digital Markets Act (DMA).
– The DMA is a 2022 law designed to limit Big Tech’s power and create fairer competition for smaller companies.
– This demand escalates US tech giants’ opposition to European regulations amid existing transatlantic tensions.
– Apple made this call in its official feedback, suggesting a replacement law should be created instead.
– The EU previously fined Apple €500 million for rules that restricted app developers from directing users to cheaper external offers.
Navigating a complex regulatory environment, Apple has formally requested that European Union officials abandon the landmark Digital Markets Act. This move signals a significant escalation in the ongoing conflict between major American technology firms and European regulatory bodies. The DMA, a cornerstone of the EU’s digital strategy, became fully applicable in 2022 with the explicit goal of curbing the dominance of Big Tech and fostering fairer competition for smaller companies and startups.
The legislation carries substantial weight, threatening non-compliant corporations with fines reaching up to 10 percent of their global annual revenue. Apple’s bold demand for the law’s repeal arrives amidst heightened transatlantic friction concerning Europe’s expanding digital rulebook. This tension is further amplified by political pressures, including former US President Donald Trump’s threats to impose tariffs on nations he perceives as unfairly targeting American companies. Meta’s CEO, Mark Zuckerberg, has also engaged in direct lobbying efforts against the DMA.
In its official response to a standard EU request for feedback, Apple stated its position clearly. The company argued that the Digital Markets Act should be repealed and replaced with a different legislative framework that it considers more suitable. This public stance follows a recent enforcement action by the EU, which resulted in a €500 million fine against Apple in April. That penalty stemmed from an investigation into Apple’s business practices, specifically whether its rules unfairly restricted app developers from informing users about more affordable subscription and service options available outside the Apple ecosystem.
(Source: Ars Technica)
