EU launches comprehensive investigation into Apple, Google and Meta's compliance with Digital Markets Act

According to this site’s report on March 25, the European Commission announced today that it will launch a comprehensive investigation, focusing on the compliance of the three technology giants Apple, Google and Meta with the EU’s Digital Market Act.

The scope of the investigation covers the redirection rules of the Google App Store, the self-operated preference issues of Google Search, the redirection rules of the Apple App Store and Safari browsing server selection screen, and Meta's "pay or agree" model.

The Commission suspects that the measures put in place by these “gatekeepers” (referring to dominant platforms) fail to effectively fulfill their obligations under the DMA.

The specific investigation content attached to this site is as follows:

• The investigation will examine whether Google and Apple’s actions in the app store comply with the DMA regulations. Article 5(4) of the DMA stipulates that "gatekeepers" should allow app developers to guide consumers to channels outside the app store for free. The European Commission is concerned that Google and Apple may not be fully complying with the rules because they impose various restrictions, such as limiting the ability of developers to freely communicate and promote products, and restricting developers from reaching direct agreements with users through charging fees.

• The Investigative Committee will study whether the way Google search results are displayed will bring any disadvantages to its own vertical search services (such as Google Shopping, Google Flights, and Google Hotels) relative to competitor services. Unfair advantage. Article 6 (5) of the DMA states that "gatekeepers" must treat third-party services in a fair and non-discriminatory manner on the search results page in the same manner as their own services. The move is aimed at preventing Google from favoring its own services and ensuring fairness and transparency in search results.

• Apple’s “User Choice” Compliance: The investigation will evaluate the measures Apple has taken to comply with DMA requirements, including allowing users to easily uninstall any iOS app and easily change the iOS default settings, and provide users with a selection screen that allows them to easily choose an alternative default service (such as a browser or search engine on an iPhone). The Commission is concerned that Apple’s measures, including the design of the default web browser selection screen, may prevent users from truly exercising choice within the Apple ecosystem, contrary to Article 6(3) of the DMA.

• Meta’s recent introduction of the “pay or consent” model in the EU has attracted the attention of the Commission, who will investigate whether this model complies with Article 5(2) of the DMA. According to this provision, when a "gatekeeper" intends to merge or cross-use user personal data between its different core platform services, it must obtain user consent. The Commission is concerned that the binary choice of “pay or consent” offered by Meta may not really constitute an alternative, because if users do not choose to consent, they will fail to achieve the goal of preventing “gatekeepers” from collecting personal data. This raises concerns about user privacy and the way data is collected, and the Commission will monitor the situation closely and assess its impact on data protection. For users, how to ensure the security and privacy of their data is an important issue, so any potential data collection needs to be strictly regulated and regulated to protect the rights and privacy of users. In the digital age, data privacy and data protection have become a topic of great concern, requiring joint efforts by relevant parties to ensure the legal use and protection of user data.

The Commission will also conduct further investigations into Amazon and Apple to identify the following issues respectively:

• Whether Amazon prefers its own products in the Amazon marketplace Branded products, contrary to Article 6 (5) of the DMA.

• Whether Apple’s new rate structure and other terms for alternative app store and web app distribution (sideloading) weaken its original intention to comply with its obligations under Article 6(4) of the DMA.

The Commission also required five companies, including Google, Amazon, Apple, Meta and Microsoft, to maintain relevant documents in order to assess their compliance with their obligations under the DMA and ensure effective enforcement.

The investigation is expected to be completed within 12 months. If the findings confirm a breach, the Commission will inform the relevant "gatekeepers" of the preliminary findings and explain the steps it will take or recommend they take to effectively address the Commission's concerns.

For violations, the Commission can impose fines of up to 10% of a company's total global turnover. Fines for repeated violations can be as high as 20%. For serious breaches, the Commission can also take additional measures, such as forcing a "gatekeeper" to sell part or all of its business or prohibiting it from acquiring additional services linked to systemic non-compliance.

Apple responded that it was confident that its plan complied with EU digital laws. Google said it had made major adjustments to comply with EU digital laws.

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