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EU Claims US Tech Giants Violate Digital Regulations
Google and Apple could incur fines for supposedly breaching the EU's Digital Markets Act, heightening tensions across the Atlantic.
The European Commission has charged Google and Apple with violating the EU's Digital Markets Act (DMA), a development that could lead to substantial penalties for the American tech giants.
The commission has formed an initial opinion that Google's search engine gives preferential treatment to its own services over competitors, violating the obligation to handle third-party services in a transparent, fair, and non-discriminatory manner.
Moreover, Google Play is accused of hindering developers from directing consumers to alternative channels where better deals may exist.
Apple has been instructed to allow its operating systems to be accessible on devices manufactured by rivals or face investigations and penalties.
The EU has also established a comprehensive timeline and approach for Apple to address requests from app developers seeking to open its systems.
Violations of the DMA can lead to fines of 10% of global revenue, or 20% for repeat offenses.
According to Apple's projected revenue for 2024, the maximum fine could approach $80 billion.
The EU is also conducting an investigation into Meta, the parent company of Facebook and Instagram, regarding its pay or consent model.
The United States has responded against the EU's regulatory initiatives, with President Donald Trump suggesting that he will consider any regulatory measures against U.S. companies when determining tariffs on imported goods.
The commission has formed an initial opinion that Google's search engine gives preferential treatment to its own services over competitors, violating the obligation to handle third-party services in a transparent, fair, and non-discriminatory manner.
Moreover, Google Play is accused of hindering developers from directing consumers to alternative channels where better deals may exist.
Apple has been instructed to allow its operating systems to be accessible on devices manufactured by rivals or face investigations and penalties.
The EU has also established a comprehensive timeline and approach for Apple to address requests from app developers seeking to open its systems.
Violations of the DMA can lead to fines of 10% of global revenue, or 20% for repeat offenses.
According to Apple's projected revenue for 2024, the maximum fine could approach $80 billion.
The EU is also conducting an investigation into Meta, the parent company of Facebook and Instagram, regarding its pay or consent model.
The United States has responded against the EU's regulatory initiatives, with President Donald Trump suggesting that he will consider any regulatory measures against U.S. companies when determining tariffs on imported goods.
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