BRUSSELS: The EU on Wednesday slapped Apple and Meta with €700 million in fines for breaking digital competition rules, risking the wrath of US President Donald Trump.
The penalties threaten to cause more tension in the already fraught relationship between the bloc and Trump, as the two sides discuss a deal to avoid his sweeping tariffs on the EU.
The European Commission fined Apple €500 million ($570 million) after concluding the company prevented developers from steering customers outside its App Store to access cheaper deals.
The EU also fined Meta €200 million over its “pay or consent” system after it violated rules on the use of personal data on Facebook and Instagram.
The fines are the first under the Digital Markets Act (DMA), which came into effect last year, forcing the world’s biggest tech firms to open up to competition in the EU.
They could rise further if Meta and Apple fail to comply within 60 days, the commission said, threatening the US giants with “periodic penalty payments.”
The EU bolstered its legal arsenal over the past two years with major twin laws, the Digital Services Act and the DMA.
But since Trump’s return to the White House, there have been concerns that the EU would shy away from enforcing them.
Trump frequently lashes out at the EU over its digital laws and taxes – claiming they are “non-tariff barriers” to trade – and many tech CEOs have aligned with his administration.
He has imposed 25-percent tariffs on steel, aluminum and auto imports from the EU, which Brussels hopes he will lift after an agreement.
Antitrust commissioner Teresa Ribera said in a statement the fines “send a strong and clear message,” insisting the bloc had taken “firm but balanced enforcement action.”
The fines – which come after the investigations began in March 2024 – also appear to be more modest than past penalties against US Big Tech.
When Apple committed similar offenses on its App Store, the commission slapped a 1.8-billion-euro fine in March 2024 under different EU rules.
Apple faces a litany of accusations. The EU also told Apple in preliminary findings it was in breach of the DMA – and therefore at risk of another hefty fine – for not making it easy for rivals to provide alternatives to its App Store.
Apple, however, slammed the decisions and said in a statement it would appeal the fine.
“Today’s announcements are yet another example of the European Commission unfairly targeting Apple in a series of decisions that are bad for the privacy and security of our users, bad for products, and force us to give away our technology for free,” the company said.
Meta accused the EU of “attempting to handicap successful American businesses while allowing Chinese and European companies to operate under different standards.”
“This isn’t just about a fine; the Commission forcing us to change our business model effectively imposes a multi-billion-dollar tariff on Meta while requiring us to offer an inferior service,” said Meta’s chief global affairs officer Joel Kaplan, a prominent Republican and Trump ally.
In a rare bit of good news for Apple, the EU closed its investigation over its user choice obligations after Apple complied with the DMA, and made it easy to select a default browser and for users to remove pre-installed apps such as Safari.
The fine against Meta concerned its “pay for privacy” system, which has faced fierce criticism by rights defenders in Europe after its introduction in November 2023.
It means users have to pay to avoid data collection, or agree to share their data with Facebook and Instagram to keep using the platforms for free.
But the commission concluded Meta did not provide Facebook and Instagram users a less personalized but equivalent version of the platforms, and “did not allow users to exercise their right to freely consent to the combination of their personal data.”
Meta in November last year proposed a new version, which the EU is currently assessing.
EU slaps fines on Apple and Meta, risking Trump fury
https://arab.news/62tv6
EU slaps fines on Apple and Meta, risking Trump fury
- The fines are the first under the Digital Markets Act, which came into effect last year
- Law forces the world’s biggest tech firms to open up to competition in the EU
US backs Japan in dispute with China over radar incident
- US criticizes China for radar targeting Japanese aircraft
- Incident follows Japan PM’s remarks on potential Chinese attack on Taiwan
WASHINGTON/TOKYO: The United States has for the first time criticized China for aiming radars at Japanese military aircraft during a training exercise last week, incidents that the Asian neighbors have given differing accounts of amid escalating tensions.
The run-in near Japan’s Okinawa islands comes after Japanese Prime Minister Sanae Takaichi triggered a dispute with Beijing last month with her remarks on how Tokyo might react to a hypothetical Chinese attack on Taiwan.
China claims democratically governed Taiwan and has not ruled out using force to take control of the island, which sits just over 100 km from Japanese territory and is surrounded by sea lanes that Tokyo relies on.
“China’s actions are not conducive to regional peace and stability,” a State Department spokesperson said late Tuesday, referring to the radar incident.
“The US-Japan Alliance is stronger and more united than ever. Our commitment to our ally Japan is unwavering, and we are in close contact on this and other issues.”
China’s foreign ministry did not immediately respond to a request for comment.
Japan late on Tuesday scrambled jets to monitor Russian and Chinese air forces conducting joint patrols around the country.
MOST SERIOUS INCIDENT IN YEARS
The Chinese fighter jets aiming their radars at the Japanese planes on Saturday was the most serious run-in between the East Asian militaries in years.
Such moves are seen as a threatening step because it signals a potential attack and may force the targeted plane to take evasive action. Tokyo blasted the moves as “dangerous.”
Beijing, however, said that the Japanese aircraft had repeatedly approached and disrupted the Chinese navy as it was conducting previously announced carrier-based flight training east of the Miyako Strait.
Speaking to reporters in Taipei on Wednesday, Taiwan President Lai Ching-te said China’s drills were “very inappropriate behavior.”
“We also call upon China to demonstrate the responsibility befitting a major power. Peace is priceless; war has no winners. Peace must be fostered by all parties, and China shares this responsibility,” he said.
Relations between Asia’s two largest economies have soured sharply since Takaichi told parliament last month that a Chinese attack on Taiwan could amount to a “survival-threatening situation” and trigger a potential military response from Tokyo.
Beijing has demanded she retract the remarks, accused Tokyo of threatening it militarily and advised its citizens not to travel to Japan.
US Ambassador to Japan George Glass has publicly expressed support for Japan in several social media posts since the diplomatic dispute began, but President Donald Trump and other senior US officials have remained silent.
Trump, who plans to visit Beijing next year for trade talks, telephoned Takaichi last month, urging her not to escalate the dispute, people with knowledge of the matter told Reuters.
