Apple and Meta have been hit by a fire — the EU will fine both tech giants under new digital market law amid growing regulatory pressure. Credit: Koshiro K, Shutterstock
Tech Giants Apple and Meta have imposed EU fines over digital rules as the committee sends messages without fueling trade fires.
The European Commission handed over two fresh fines to Tech Heavyweights Apple and Meta this week, citing a violation of the EU’s Digital Markets Act (DMA), but the move had significant restraints.
Penalties are headlined, but they were relatively modest from a financial standpoint: 500 million euros for Apple and 200 million euros for meta. In both cases, it was linked to actions that the EU saw as fair competition in the digital market and undermining user rights. But behind the enforcement is a broader, more balanced act of sending serious cues without raising heat in the already sensitive trade environment with Washington.
Why the EU fined Apple and Meta – and why they did the wrong thing
Apple’s fine details stem from the way app developers handle it and interact with users. According to Brussels, Apple had made it difficult for developers to direct users to alternative platforms or pricing options. This is a practice that directly conflicts with DMA’s focus on fairness and transparency in the digital ecosystem.
Meta’s case focuses on its “pay or consent” model. It is a controversial system introduced on platforms like Facebook and Instagram, offering users a choice of binary. You agree to share your targeted ad personal data or you agree to pay for an ad-free experience. The committee argued that this setup essentially forced users to consent and failed in the spirit of necessary informed and free choice under the new rules.
EU keeps apple and meta fines low and drops the other two DMA cases
The committee could have issued fines of up to 10% of annual global sales under the DMA, but both penalties have landed at the bottom of the scale. EU officials said this is because digital market laws are still new and “period” (one of the criteria used to calculate fines) is still not fully applicable. They also stated that “gravity” and “recurrence” of the violation were considered, but the goal was to implement the rules without creating unnecessary escalations.
Interestingly, while issuing the fines, the committee also closed two other probes, including the same company. One case was considering whether Apple was blocking changes to the browser selection screen. This is an important issue regarding user autonomy. The other included a Facebook Marketplace review that the regulator concluded that it was not certified as a “core platform service” under the DMA.
Brussels implements technical regulations while trying to avoid US trade tensions
The move comes at a subtle moment in relations between the EU and the US, with trade tensions simmering just below the surface. The Commission’s latest action shows it is willing to implement a digital agenda, but is also keen to avoid regulatory conflicts with Washington.
Both Apple and Meta have been contacted for comments on the ruling, but it has not been made public yet.
The DMA is just beginning to reconstruct the rules of Europe’s big technology path, and this may just be the opening act. What is clear for now is that Brussels has abandoned its authority, but he looks carefully at the geopolitical winds as if he does.