The EU is Cracking Down on Big Tech Companies Like Apple

The European Union’s competition chief, Margrethe Vestager, recently highlighted a number of “very serious” issues regarding Apple under the EU’s Digital Markets Act (DMA). The investigation, which also includes Alphabet and Meta, is focused on whether Apple is blocking businesses from informing users about cheaper options for products or subscriptions outside of the App Store. These concerns are significant as a lot of business transactions occur through the App Store and payment mechanisms. Vestager expressed surprise at the suspicions of Apple being non-compliant but emphasized that enforcement will be a top priority.

Potential Charges Against Apple

Reports suggest that Brussels is preparing to charge Apple under the DMA as a result of the ongoing probe. If found in breach of the rules, Apple could face fines of up to 10% of its total worldwide annual turnover. While these charges would be preliminary, Apple has the opportunity to address the regulators’ concerns. Vestager mentioned that the conclusions of the probe will be revealed soon, indicating that Apple’s compliance with EU regulations will be closely monitored.

Vestager has been a key figure in the EU’s efforts to regulate large technology companies and ensure fair competition within the 27-nation bloc. Over her tenure as the EU’s Competition Commissioner, she has led investigations into tech giants like Google parent Alphabet and imposed significant fines on them. As she prepares to step down from her role, Vestager remains committed to ongoing probes, including the antitrust investigation into Microsoft’s bundling of its products. Her focus on leveling the playing field in the tech industry reflects the EU’s broader goal of curbing the dominance of Big Tech companies.

As Vestager prepares to leave office, she expressed her anticipation for a much-needed rest. After a decade of intense work and high-profile cases, she looks forward to taking a break and recharging. Her dedication to enforcing EU competition rules on tech companies has left a lasting impact, setting a precedent for future regulations in the digital market. Despite the challenges and complexities involved in regulating Big Tech, Vestager’s legacy underscores the importance of holding tech giants accountable and promoting fair competition in the industry.