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Apple and Meta to face EU tariffs under groundbreaking technology rules, Telecom News, ET Telecom

Apple and Meta Platforms are likely to be accused of failing to comply with landmark EU rules aimed at reining in their power before the summer, three people with direct knowledge of the matter said on Friday.

The European Commission, which in March opened investigations into both companies and Alphabet’s Google under the Digital Markets Act (DMA), considers Apple and Meta to be priority cases, citizens say.

The DMA requires Big Tech to open up space for smaller rivals to compete and make it easier for people to move between competing online services such as social media platforms, web browsers and app stores.

EU regulators will present preliminary findings similar to antitrust charges before the summer break in August, with Apple the first to be charged, followed by Meta, sources said.

The commission and Meta declined to comment. Apple referred to its March statement in which it said it was confident its plan was compliant with the DMA and that it continued to engage constructively with the Commission.

Ahead of a final decision, expected before EU antitrust chief Margrethe Vestager leaves office in November, companies can offer remedies that could include fines of up to 10% of a company’s global annual turnover for violations.

The EU investigation is looking into Apple’s control policies, which regulators say impose restrictions that make it harder for app developers to inform users about offers outside the App Store for free, as well as new fees on app developers.

EU regulators are expected to charge Apple over the case, the people said, adding that a second investigation focusing on Safari’s browser selection screen will likely take longer.

Initial findings for Meta focus on a recently introduced payment or opt-in model in which users pay a subscription fee for ad-free Facebook and Instagram, these people said.

The FT was the first to report that Apple would face EU charges.

  • Posted on June 15, 2024 at 4:50 pm EST

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