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The EC has postponed immediate fines for Apple and Meta, focusing on compliance with the Digital Markets Act amid ongoing evaluations and trade tensions.
EU has delayed penalties for Apple and Meta amid digital regulation compliance discussions. (Photo: IvanGar_Fotografia/Shutterstock)
The European Commission has reportedly opted not to impose immediate financial penalties on Apple and Meta, even if they fail to meet the compliance deadline for the EU’s digital regulations. An EU spokesperson confirmed that the US tech giants will not face instant sanctions for not fulfilling their obligations under the Digital Markets Act (DMA), according to reporting by Euronews.
In April, the Commission fined Apple €500m and Meta €200m for non-compliance, granting them 60 days to adjust their practices. This grace period ends on 26 June, after which they risk periodic penalties.
The Commission clarified that financial penalties will not be automatic but will follow a preliminary analysis. Findings from this analysis will be shared with Apple and Meta as part of an ongoing dialogue. Apple was fined for preventing developers from directing users to external offers or content, a practice deemed non-compliant with DMA standards. Meta’s “pay or consent” model, which forces users to either agree to personalised data use for targeted ads or choose a paid ad-free subscription, was also found problematic, resulting in their fine.
In response to the fine, Meta introduced a revised version of its personalised advertising model in November 2024, which uses less personal data. The Commission is currently evaluating this updated system while continuing discussions with the company.
The fines issued in April were notably smaller compared to past antitrust measures under former EU Competition Commissioner Margrethe Vestager, who imposed heavier penalties on tech giants. EU officials indicated that the relatively modest fines were due to the short duration of violations since the DMA’s implementation in 2023, with the current focus being on achieving compliance rather than punishment.
Ongoing trade tensions between US and EU amid digital regulation disputes
This situation unfolds amid escalating trade tensions between the US and the EU, which began in mid-March. In response to US tariffs, Commission President Ursula von der Leyen has suggested a potential tax on digital advertising revenues. Meanwhile, a report from the US Trade Representative in early April described EU digital regulations as a barrier to US exports. The DMA aims to prevent dominant digital platforms from exploiting their market power, seeking to open digital ecosystems and ensure genuine user choice online.
The Digital Markets Act is designed to prevent dominant digital platforms from abusing their market power. It aims to open up digital ecosystems controlled by Big Tech and ensure users enjoy real freedom of choice online.
By enforcing compliance with these regulations, the EU seeks to create a more competitive and fair digital marketplace for all stakeholders involved. The ongoing discussions and evaluations of Apple and Meta’s practices are part of this broader effort to ensure that digital markets operate fairly and transparently.
Read more: EU imposes fine on Apple and Meta, escalating tech tensions with US
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