All posts tagged: dma

Apple, Meta Fined as EU Presses Ahead with Tech Probes

Apple, Meta Fined as EU Presses Ahead with Tech Probes

Published by Webster

Apple was fined EUR 500 million ($570 million or roughly Rs. 4,869 crore) on Wednesday and Meta EUR 200 million (roughly Rs. 1,708 crore), as European Union antitrust regulators handed out the first sanctions under landmark legislation aimed at curbing the power of Big Tech. The EU fines could stoke tensions with US President Donald Trump who has threatened to levy tariffs against countries that penalise US companies. They follow a year-long investigation by the European Commission, the EU executive, into whether the companies comply with the Digital Markets Act (DMA) that seeks to allow smaller rivals into markets dominated by the biggest companies. The fines signal that the EU is sticking to its guns in enforcing the new rules, which were introduced in 2023. That is despite Trump citing the DMA while vowing in February to “defend American companies and innovators from overseas extortion”. Alphabet’s Google and Elon Musk’s X are also facing potential fines from European regulators. The EU will be encouraged by a US court judgment earlier this month which found that Google …

Apple and Meta hit with the EU’s first DMA antitrust fines

Apple and Meta hit with the EU’s first DMA antitrust fines

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Apple and Meta are the first companies to be fined for violations under the European Union’s Digital Markets Act (DMA). The European Commission announced today that Apple has been served a €500 million (about $570 million) penalty after ruling that its App Store “anti-steering” practices failed to comply with DMA antitrust rules. Meta has been fined €200 million (about $230 million) following similar charges regarding Facebook and Instagram’s ‘pay or consent’ ad model. Both companies will have to change their software and practices following the ruling. The DMA became law in May 2023, and is designed to increase competition across digital markets within the EU. Companies designated under the law as “gatekeepers” — Apple, Meta, Alphabet, Amazon, ByteDance, and Microsoft — over “core platform services” they offer must comply with rules intended to reduce anticompetitive behavior. Companies can be charged up to 10 percent of their annual global revenue for DMA violations, and up to 20 percent for repeat offenses. Apple was charged for violating DMA rules over App Store restrictions that prevented developers from …

Google Said to be Facing EU Charges of Breaching Big Tech Rules

Google Said to be Facing EU Charges of Breaching Big Tech Rules

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Alphabet unit Google is set to be charged with breaching EU rules aimed at checking the power of Big Tech after proposed changes to its search results failed to address the EU antitrust regulator’s concerns and those of its rivals, three people with direct knowledge of the matter said. The move by the European Commission comes amid tensions with US President Donald Trump who has sided with US tech giants lobbying against EU regulations and criticising fines as a form of tariff. That has in turn triggered concerns that the EU watchdog may ease up on Big Tech. The European Commission has been investigating Google for potential breaches of the Digital Markets Act since March last year. One probe focuses on whether Google favours its vertical search engines such as Google Shopping, Google Flights and Google Hotels over rivals, and whether it discriminates against third-party services on Google search results. The imminent charges concerned this issue, the people said. The EU competition watchdog declined to comment. Google referred to a December blog post by its …

European Commission Criticised for Weakly Regulating Big Tech

European Commission Criticised for Weakly Regulating Big Tech

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European politicians and advocacy groups are adamant that the region’s legislation is not hardline enough to dismantle the monopolies of Big Tech companies. In the last week, two open letters have been penned to regulators criticising how Apple and Google remain unchecked. On Jan. 16, four digital rights groups responded to the measures proposed by the European Commission for Apple to ensure interoperability with iOS and iPadOS operating systems. They allege that Apple’s current process for handling interoperability requests is convoluted, discouraging developers from submitting them. “Gatekeeper” organisations — the most prominent tech firms operating in Europe, including Apple and Google’s parent company Alphabet — must provide third parties with the tools they need to make their software and hardware products work seamlessly with their own, as per the Digital Markets Act. SEE: EU Approves NVIDIA Deal With Run:ai, Pushes for Apple Interoperability The next day, Club de Madrid, a network of former European heads of state, voiced its support of the Commission “end(ing) Google’s monopoly over digital advertising technologies” through forced divestiture. “Google’s unchecked …

Google Changes Search Features to Appease EU Regulators

Google Changes Search Features to Appease EU Regulators

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Google has announced several changes to its Search features to comply with the E.U.’s Digital Markets Act. These changes are intended to level the playing field between the tech giant and third-party comparison sites. The Alphabet-owned company will introduce search result layouts that give equal prominence to results from comparison sites and direct supplier websites, such as airlines, hotels, or retailers. They will also be able to display more detailed information on the results pages, such as prices and images. Google is also creating specialised ad units designed for comparison platforms, enabling them to feature more prominently in search results. Additionally, Google is running a test to understand the impact of simplifying the format of all search results to just a simple blue hyperlink. Since Nov. 25, it has been removing the search result features on hotel, holiday rental, and comparison websites for users located in Germany, Belgium, and Estonia. These include the map showing hotel locations, the hotel results, and property information. The idea is to temporarily observe how reverting back to blue links …

EU Investigates NVIDIA Deal With Run:ai

EU Investigates NVIDIA Deal With Run:ai

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The European Commission recently announced investigations into NVIDIA’s proposed acquisition of Run:ai, an Israel-based provider of a compute management platform, and Apple’s iPadOS to assess compliance with the bloc’s Digital Markets Act. GPU supplier NVIDIA announced its plans to buy Run:ai in April, which it said was “to help customers make more efficient use of their AI computing resources.” Run:ai’s platform dynamically allocates GPU resources, whether on-premises, in public clouds, or at the edge, allowing companies to get the most out of their hardware and reduce operational costs. The two companies have been working together since about 2020. The deal is worth $700 million, according to TechCrunch, and NVIDIA does not currently have plans to change Run:ai’s business model. The deal remains on hold until it is cleared of competition concerns by the authority. Commission claims acquisition could affect market competition Italy flagged the deal to the E.U. Merger Regulation, which allows for mergers that don’t have an E.U. dimension but could impact trade and competition within the region. While it does not meet the …

EU Antitrust Regulators to Spell Out How Apple Must Open Up to Rivals to Abide by Digital Markets Act

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EU antitrust regulators launched proceedings on Thursday to ensure that Apple complies with landmark rules requiring it to open up its closed ecosystem to rivals or risk a possible hefty fine. Under the so-called specification proceedings, the European Commission will spell out what Apple has to do to abide by the Digital Markets Act (DMA), which came into effect last year. “Today is the first time we use specification proceedings under the DMA to guide Apple towards effective compliance with its interoperability obligations through constructive dialogue,” EU antitrust chief Margrethe Vestager said in a statement. The EU competition enforcer said the first proceeding targets iOS connectivity features and functionalities for smartwatches, headphones, virtual reality headsets and other internet-connected devices. It will specify how Apple will provide effective interoperability with functionalities such as notifications, device pairing and connectivity. The second proceeding concerns how Apple addresses interoperability requests submitted by developers and third parties for iOS and iPadOS, with the company told ensure a transparent, timely, and fair process. The Commission aims to wrap up both proceedings …

iPad Brought Under EU’s Digital Markets Act, Apple Must Comply With New Rules in 6 Months

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Apple’s iPad has been added to a list of Big Tech products and services hit by strict new European Union rules aimed at stopping potential competition abuses before they take hold. The move means Apple has six months to make sure its tablet ecosystem complies with a raft of preemptive measures under the EU’s flagship Digital Markets Act. The company’s iOS mobile operating system, its App Store and Safari browser are already targeted by the law — but Apple has challenged its designation for certain services to the EU’s General Court in Luxembourg, with hearings set to take place later this year. The EU’s decision to draw iPad under the scope of the DMA will ensure that fairness and competition are preserved, EU competition commissioner Margrethe Vestager said in a statement. She said that despite not meeting all the thresholds for being earmarked, an investigation showed that “iPadOS constitutes an important gateway on which many companies rely to reach their customers.” The decision is a loss for Cupertino, California-based Apple, which will have to adapt …

Apple Could Be Forced to Let iPhone Users Uninstall Photos App in Europe: Report

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Apple has reportedly found itself in hot water with the European Union (EU) again. Earlier this year, the EU brought the Digital Markets Act (DMA) into effect with a deadline of March 6. Among many user-centric policies, the act also required consumer tech companies to focus on interoperability and offer an open ecosystem where users have a choice in picking a particular app in a device as the default. While Apple added support for alternative app marketplaces and allowed third-party browsers to run their engine to comply with the act, the EU believes the Photos app is still in violation. On March 25, the European Commission (EC) opened a non-compliance investigation against Apple, Google, and Meta. For Apple, three reasons were listed in the press release which stated, “The Commission has opened proceedings against Apple regarding their measures to comply with obligations to (i) enable end users to easily uninstall any software applications on iOS, (ii) easily change default settings on iOS and (iii) prompt users with choice screens which must effectively and easily allow …

AltStore to Add Support for Sideloading Patreon-Backed iPhone Apps in the EU

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Apple introduced the ability to sideload iPhone apps in the European Union (EU) last month, in order to comply with the Digital Markets Act (DMA) regulations, and users who have updated to iOS 17.4 will soon be able to install apps backed by Patreon via AltStore, an alternative app store designed to enable sideloading on iOS. As a result, developers will have an alternate method of monetising their apps in the EU, while skirting Apple’s commission on apps distributed via its App Store. In a post on Threads, AltStore developer Riley Testut stated that the popular sideloading tool will soon be made available in the EU as an alternative App Marketplace, which would be fully compliant with Apple’s policies for third-party app stores in the region. Testut also shared a screen recording of the process of installing an app via the AltStore App Marketplace, which doesn’t appear to take more than a couple of taps. It’s worth remembering that even developers who distribute free applications will have to pay Apple a Core Technology Fee of EUR 0.5 …