Apple and Meta Platforms may likely face charges in the European Union. According to a report by the news agency Reuters, the tech majors may face these charges for failing to comply with the EU’s tech rules, the Digital Markets Act, (DMA) which are expected to be implemented in the coming days.
In March, the EU’s regulatory watchdog, the European Commission, launched investigations into Apple, Meta and Alphabet’s Google under the Digital Markets Act (DMA).
The report claims that the regulator sees Apple and Meta as priority cases.
What is DMA and why Apple Meta may face charges
The DMA requires major tech companies to help smaller rivals compete and make it easier for people to move between competing online services like social media platforms, internet browsers and app stores.
As per the report, the EU regulators are expected to issue preliminary findings which are similar to antitrust charges before the summer break in August. The report also added that Apple may be the first to be charged, followed by Meta.
With this investigation, the EU is aiming at Apple’s App Store rules. Regulators claim Apple restricts developers from telling users about cheaper options outside the App Store, and they’re also looking into Apple’s new developer fees. Additionally, the EU is also investigating Meta’s new subscription model for ad-free Facebook and Instagram.
What Apple has to say about the possible charges
In a statement to Reuters, Apple referred to its March statement where it said that it was confident that its plan complies with the DMA and noted that it continues to constructively engage with the Commission.
Companies can offer remedies to address concerns laid out in the findings before a final decision is expected before EU antitrust chief Margrethe Vestager leaves office in November. This may include fines up to 10% of a company’s global annual turnover for breaches.
Facebook-parent Meta also recently announced its plans to train its generative artificial intelligence (AI) models with content shared publicly on social media by users in Europe.
After receiving backlash on the same, the company detailed how it will use the publically available content on its social media platforms.
Meta also pointed out that it is not the first company to do it and directed towards Google and Microsoft-backed OpenAI.
