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Why Is EU Fining Tech Giants, Apple And Meta?

The Digital Markets Act, which came into force last year, sets out clear do’s and don’ts for the biggest online platforms. On 23 April the European Commission used those rules for the first time, hitting Apple with a €500 million fine and Meta with a €200 million fine. According to the Commission press release, officials concluded that both firms limited user choice and must make changes within 60 days.

Both companies plan to appeal. Apple said regulators keep “moving the goalposts,” while Meta’s Joel Kaplan called the ruling a tariff on successful United States firms. Commission spokespeople replied that every platform, no matter where it is based, must follow the same European rules.

 

How Did Apple Break The Rules?

 

Apple’s case mainly looks at on the anti-steering clause. Developers who sell apps through the App Store must be able to tell users about cheaper deals on the web and let them pay outside the store. The Commission found that Apple blocked clear links, added hurdles, and made it hard for developers to explain outside prices.

Officials said Apple failed to prove that its restrictions were “objectively necessary and proportionate.” In plain terms, Brussels saw a strategy to keep users inside a walled garden where Apple earns up to 30% of each sale.

Alongside the fine, regulators ordered Apple to scrap both technical blocks and contract clauses that stop steering. If Apple misses the 2 month deadline, it faces daily penalties of up to ten per cent of worldwide turnover.

The decision came after months of talks. The Commission noted that Apple did resolve a separate matter on user-choice prompts early, showing that dialogue can work when a platform moves fast enough.

 

 

Why Did Meta Face Penalties?

 

Meta redesigned Facebook and Instagram in late 2023 after a European court ruled that the firm must seek clear consent before showing personal ads. The company presented users with two paths: agree to data tracking or pay at least ten euros each month for an ad-free feed. The Commission ruled that the offer broke the DMA because it forced people to hand over data unless they paid extra.

Brussels said the DMA requires a third path that uses less personal data without charging a new fee. Under pressure, Meta launched such an option last November, promising fewer targeted adverts while keeping the service free. Officials are still examining whether that tweak meets the law, so the fine only covers March to November 2024.

The Commission also removed the gatekeeper tag from Facebook Marketplace after Meta proved that fewer than ten thousand European firms traded there last year. While that change eases one burden, Meta must still overhaul its ad practices on its main social network.

Kaplan predicts that tighter consent rules could hurt small advertisers. The Commission countered that clear choices build public trust and open the digital field to far more players than a system driven by personal tracking alone.

 

What Should Meta And Apple Dot?

 

Apple and Meta must show concrete progress within 60 days or risk fresh penalties. The Commission says it will monitor both firms closely and stands ready to impose daily fines if the new conduct looks much like the old.

Legal issues are certain, but even with that, Brussels appears confident. DMA compliance is non-negotiable and that the Apple and Meta cases set a benchmark for every gatekeeper platform operating in Europe.

For consumers, the next couple of months could bring visible changes. Developers may finally link to cheaper web deals from iPhone apps, and Facebook or Instagram users may gain a cleaner way to limit data use without opening their wallets. If the companies deliver, the first round of DMA enforcement will have turned lofty rules into practical rights for millions of people.

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