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Brussels, 24 April 2025 – In a bold move to end anti-competitive practices, Europe’s digital economy The European Commission yesterday announced its first sanctions in accordance with the Digital Markets Act (DMA) that target two of the world’s largest tech giants.
Apple Hit with Record Penalty
The Commission punished Apple with EUR 500 million for its practices that, they claim, “unfairly bottleneck competition” in their iOS platform. The investigation found that Apple’s policy of requiring developers to sell their apps only through its App Store is in violation of the DMA’s regulations, which state that “gatekeepers” must allow alternative distribution channels for apps. In the eyes of EU regulators this restriction does not just raise the costs for developers but also limits users in their choice of applications they download on their devices.
Meta Fined for “Consent or Pay” Scheme
Meta Platforms Inc. (the parent company of Facebook and Instagram) incurred a €200 million penalty for enforcing its controversial “consent or pay” model. Under this scheme, Meta forced EU users to choose between submitting to extensive personal‑data collection and targeted ads or paying a fee to avoid tracking. The Commission ruled that Meta’s policy violates the DMA, which bars gatekeepers from imposing “unfair conditions” on users.
Company Responses and Next Steps
The two companies, Apple and Meta, quickly vowed to contest the rulings. Apple said the fine was “disproportionate” and warned that “this ruling could stifle innovation and consumer choice in the app economy.” Meta said the fine was “politically motivated” and announced plans to seek the immediate cancellation of fines until an appeal to the General Court of the EU. General Court.
Despite appeals, the fines show the EU’s willingness to apply the DMA’s rules, which took effect on 7 March 2024. In accordance with these regulations, gatekeepers, businesses that have significant market power — face multibillion-euro fines as well as strict bans on actions that are considered unfair or anti-competitive.
Implications for the Tech Industry
Analysts say the rulings of yesterday send a clear message to the other important U.S. and global tech platforms operating in Europe. “This shows the Commission is no longer issuing warnings—it’s taking decisive action,” said Professor Elena Novak, an expert in competition law at the European University Institute. “We can expect more investigations and penalties if gatekeepers do not swiftly adjust their business models to comply with the DMA.”
Looking Ahead
Moreover, the EU is conducting several significant investigations, including probing Google’s ad‑tech practices and Amazon’s marketplace operations. Now that Brussels has enforcement tools in place, it can transform the digital landscape and foster a more competitive environment for services across Europe. Additionally, these initiatives could establish standards adopted worldwide.
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