Apple, Meta Face Hefty Fines from the EU

Apple, Meta Face Hefty Fines from the EU

The European Union (EU) is finding ways to curb the power of Big Tech, as it recently fined Apple and Meta 500 million Euros and 200 million Euros respectively.

The fines imposed by the EU is part of their implementation of the Digital Markets Act (DMA), where they seek to allow smaller rivals into markets dominated by Big Tech like Apple and Meta. The EU is serious about the DMA despite US President Donald Trump vowing to “defend American companies and innovators from overseas extortion”.

These recent developments in the EU may increase tensions with the US, especially with Trump threatening to levy tariffs against countries that penalize US companies. Aside from Apple and Meta, Alphabet’s Google and Elon Musk’s X (formerly Twitter) are facing potential fines from the EU. For the former, the US court found Google illegally dominating two markets for online advertising technology, and the ruling might pave for anitrust prosecutors to seek Google to breakup its ad products.

Both Apple and Meta criticize the decision, stating that the decision made by the EU is unfair. “Today’s announcements are yet another example of the European Commission unfairly targeting Apple in a series of decisions that are bad for the privacy and security of our users, bad for products, and force us to give away our technology for free,” Apple said in an emailed statement.

“The European Commission is attempting to handicap successful American businesses while allowing Chinese and European companies to operate under different standards,” Meta Chief Global Affairs Officer Joel Kaplan said in an emailed statement. “This isn’t just about a fine; the Commission forcing us to change our business model effectively imposes a multi-billion-dollar tariff on Meta while requiring us to offer an inferior service.”

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