In September 2023, the E.U. designated six internet “gatekeepers” as the first companies required to be in compliance with the Digital Markets Act. The deadline for compliance passed earlier this month and Alphabet, Apple and Meta have been identified as subjects of the first probes for non-compliance.
Asked about the speed with which the E.U. is acting, commissioner for internal market Thierry Breton said:
“The law is the law. We can’t just sit around and wait.”
The alleged breaches. The probes suggest that the companies have failed to comply with the law in different ways:
- Alphabet and Apple may have prevented businesses from telling users about cheaper products than their own.
- Apple may have failed in its obligation to allow users to easily uninstall apps and change default settings on the iPhone.
- Alphabet may have preferenced its own products in search results.
- Meta’s “no ads” subscription model may not be in compliance with the Act.
Why we care. These companies may have deep pockets and many lawyers, but regulatory headaches are mounting fast. Apple now faces an antitrust lawsuit in the U.S. Google is currently hamstrung in its plans to deprecate third-party cookies by the U.K. Competition & Markets Authority. And don’t forget the state lawsuits targeting Meta for making its products addictive for children.
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