Big tech companies face criticism for failing to comply with EU’s antitrust law

admin17 January 2024Last Update :
Big tech companies face criticism for failing to comply with EU's antitrust law

Big tech companies face criticism for failing to comply with EU’s antitrust law،

The European Union has been a real headache for big tech companies lately. Wonder why? Well, the Digital Markets Act (DMA) has something to do with it. The DMA, adopted by the EU in 2022, is an important piece of legislation aimed at fostering a fairer and more competitive digital market.

The DMA identifies major online platforms with gatekeeper status, signifying their substantial influence on the internal market and their dominant intermediation position. These gatekeepers face a set of obligations and prohibitions designed to curb potential abuses of market power and ensure a competitive environment.

Now, according to CNBCthe report of (via Apple Insider), a coalition of major technology and media companies has written an open letter, alleging that gatekeepers are not sufficiently bringing their operations into compliance with upcoming digital competition regulations imposed by the EU.

Who are these guardians, you may ask? Apple, Amazon, Meta, Microsoft, Google and ByteDance, owner of TikTok. Yes, you probably know them all. The companies that signed the open letter say these major tech players have failed to adequately collaborate with them and others in the industry.

A group of 24 companies, including names like Schibsted, Ecosia, Qwant, Element and ProtonVPN, put their names on the letter. They emphasized that the guards “either failed to engage with third parties or presented solutions that did not comply with the DMA.”

They also mentioned that businesses and consumers are “kept in the dark» about what will happen after March 7, 2024. The six gatekeepers are required to align their operations with the DMA by then.

The letter, signed by representatives of many companies affected by the DMA, calls on gatekeepers to quickly begin constructive dialogues with business users and other stakeholders, including business and consumer associations. The goal is to rapidly advance proposed compliance solutions.

The signatories further urge the European Commission and the European Parliament to “use everything in their power to ensure that guards» conform to both the literal requirements and the underlying principles of the DMA.

Big tech gatekeepers need to do things like make their messaging apps compatible with those of their competitors or let users choose which apps are already on their gadgets. Take Apple, for example: The company needs to give the green light to alternative app stores, which could lead to Apple splitting its App Store in two.