Bloomberg recently reported that Apple and Google will be subject to a full investigation by the European Union to determine their compliance with the new law aimed at limiting the power of big tech companies. This investigation could potentially result in significant fines for both companies. The European Commission is expected to announce this investigation in the coming days, focusing on whether Apple and Google have adhered to the EU’s Digital Markets Directive. The sources also indicated that the EU will scrutinize Apple and Google’s new fees, terms and conditions for app store developers, while Meta’s proposal to charge users a monthly fee to access Facebook and Instagram could also attract regulators’ attention .

EU control over tech giants

The EU’s Digital Markets Act, which came into force on March 7, has put big tech companies like Apple under intense scrutiny. This legislation outlines a set of regulations for the world’s largest technology platforms, authorizing the EU to impose fines of up to 10% of a company’s global annual revenue and up to 20% for repeat infringements. The law aims to ensure fair competition in digital markets and prevent anti-competitive practices by tech giants. In particular, Apple faced a hefty €1.84 billion fine from the EU for allegedly preventing music streaming service Spotify from informing consumers about cheaper subscription options.

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Legal challenges for Apple

In parallel with the EU action, the US Department of Justice and 16 state and regional attorneys general joined forces to file an antitrust lawsuit against Apple. The lawsuit accuses Apple of illegally monopolizing the smartphone market, adding another layer of legal challenges for the tech giant. In addition, these legal actions highlight the increasing global regulatory scrutiny that major technology companies such as Apple and Google are facing. It also signals a move towards stricter oversight of their market practices.

The pending investigations by both the European Union and US authorities highlight a key moment for big tech firms as they deal with increased regulatory pressure aimed at promoting fair competition, protecting consumer rights and curbing monopolistic behavior in the digital environment. As these investigations unfold, the results will not only affect the future operations of Apple and Google, but also set precedents for regulatory action against other tech giants around the world.

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The upcoming investigations by the European Union mark a critical moment for major technology companies such as Apple and Google. They face increased regulatory scrutiny to promote fair competition, protect consumer interests and tackle monopolistic practices in the digital realm. These legal challenges underscore a global trend toward tighter oversight of large technology firms. It also reflects a move towards tighter regulation of their market conduct. The results of these investigations will not only shape the future operations of Apple and Google, but also set precedents for regulatory action against other tech giants on a global scale.

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Apple and Google to face EU Digital Markets Act compliance investigation