EU Slaps Fines on Apple and Meta, Risking Trump Fury
AFP/APP
Brussels, Belgium: The European Union on Wednesday imposed €700 million in fines on tech giants Apple and Meta for breaching the Digital Markets Act (DMA), risking fresh tensions with US President Donald Trump.
Fines and Violations
Apple was fined €500 million ($570 million) for preventing app developers from directing customers outside the App Store to access cheaper offers.
Meta was fined €200 million for violating DMA rules through its “pay or consent” data system on Facebook and Instagram.
These are the first penalties enforced under the DMA, which came into effect last year to boost digital competition within the EU. Both companies have 60 days to comply, or risk “periodic penalty payments.”
Wider Implications
The fines come amid sensitive trade negotiations between Brussels and Washington aimed at avoiding Trump’s sweeping tariffs on EU goods.
Trump, who has repeatedly criticized EU tech regulation, may view these penalties as non-tariff trade barriers.
EU antitrust commissioner Teresa Ribera defended the move, saying it sends a “strong and clear message” that enforcement is “firm but balanced” and not politically motivated.
“EU competition rules apply equally to everyone,” Ribera added during her visit to Mexico.
Reactions from Apple and Meta
Apple announced it would appeal, calling the decision:
“…yet another example of the European Commission unfairly targeting Apple… bad for privacy and security, bad for products, and forces us to give away our technology for free.”
Meta’s global affairs chief, Joel Kaplan, a Republican and close Trump ally, accused the EU of:
“…handicapping successful American businesses while allowing Chinese and European firms to operate under different standards.”
He added that the EU was effectively imposing a “multi-billion-dollar tariff” on Meta’s business model.
EU spokesperson Thomas Regnier firmly responded: “We don’t care who owns the company or where it’s from… all companies must play by EU rules.”
Details on Each Case
Apple:
The fine is smaller than the €1.8 billion fine imposed in March under different EU rules.
This case involved shorter violations since the DMA only applied from 2023.
The EU is also investigating Apple for limiting third-party alternatives to its App Store, possibly leading to further sanctions.
In some relief, the EU closed an investigation after Apple complied with requirements to let users change default browsers and delete pre-installed apps.
Meta:
The “pay-for-privacy” system, introduced in November 2023, offers users two choices: pay to avoid data collection or consent to data sharing for free access.
The EU concluded Meta failed to offer an equally effective, less personalized version, violating users’ right to free and informed consent.
Meta has submitted a revised version of this system, which is currently under EU assessment.
Additionally, 200 French media groups are suing Meta over unauthorized targeted advertisements.