 "EU reassessing fines against Google, Apple and other US tech firms because of Trump 2.0")
The European Union has reportedly hit the pause button on its plans to fine tech giants like Apple, Google, and Meta, as it waits for political clarity. The EU, led by competition chief Margrethe Vestager, has been a driving force in regulating Big Tech for the past decade, particularly with its Digital Markets Act (DMA). This law aimed to rein in the power of tech giants by imposing fines for anti-competitive behaviour. However, the latest reports suggest that EU regulators are now putting those plans on hold.
The delay is said to stem from a combination of factors: many key officials are nearing the end of their terms, and the incoming Trump administration in the US is expected to support Big Tech lobbyists. This could push back on the EU’s aggressive stance, making it harder for the EU to follow through on its regulatory actions. A few unnamed EU diplomats have even hinted that Big Tech’s influence could pressure the EU to soften its approach.
EU regulators wait to see which way the wind blows
According to insiders, the EU is now waiting for clearer political direction before making decisions on ongoing investigations. Some of the key players who went after Big Tech, are nearing the end of their terms, with some seeking re-election. Without a clear picture of things will turn out to be, cases against Apple, Google, and Meta will stay in limbo.
However, the European Union has denied these claims, stating there’s no delay due to political reasons. Despite this, some EU lawmakers, like MEP Stephanie Yon-Courtin, have urged regulators to continue moving forward with the DMA, warning that political considerations should not derail its enforcement. Yon-Courtin, a key figure in drafting the law, has called for reassurance that the DMA will be fully implemented without further delays.
Apple’s ongoing scrutiny
Apple has been one of the EU’s most high-profile targets. In March 2024, the EU fined the company $2 billion for anti-competitive practices related to Apple Music. Despite its relatively small share of the streaming market, Apple felt the weight of the EU’s regulatory hammer. Under EU pressure, Apple has made significant changes, like switching to USB-C charging for the iPhone, but rivals such as Epic Games have accused Apple of only following the rules in ways that still benefit its interests.
By mid-2024, the EU was expected to fine Apple again over its failure to comply with the DMA. However, with political shifts and administrative changes on the horizon, this decision now seems to be on hold.
The politics of regulation
The EU has led the way in regulating Big Tech, but the delay in these rulings highlights how much of the process is shaped by politics.
As the US prepares for potential political changes, Big Tech companies are positioning themselves to benefit from a friendlier regulatory environment. While the EU continues to push for tighter control over these tech giants, the politics behind the decisions are becoming increasingly hard to ignore.
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