The European Commission (EC) has announced the initiation of an investigation into the non-compliance with the Digital Markets Act (DMA) by three major technology companies, namely Alphabet (Google), Apple, and Meta, as reported previously.
The main issues under investigation by the EC encompass a total of 4 points regarding potential infringements of the DMA, as follows:
1. Prohibition on developers from directing users to payment methods outside of the app or utilizing methods that make it difficult for compliance, with investigations to be conducted on both Alphabet (Google Play) and Apple (App Store).
2. Google’s search prioritization displaying its services above competitor websites, such as Google Shopping, Google Flights, and Google Hotels.
3. Examination of Apple’s iOS extending to whether users can easily delete software, modify default settings, and have options to choose default services like browsers and search engines.
4. Investigation into Meta’s payment model for subscription-based ad-free services aligning with DMA guidelines.
Additionally, the EC plans to further investigate two additional points: the introduction of new fee structures for the App Store in Europe (Apple) and the weighting of search results for Amazon-branded products over others (Amazon).
The investigation process is expected to take up to 12 months from now, with potential fines of up to 10% of the companies’ revenues.
Source: European Commission
TLDR: EC begins investigation into Google, Apple, and Meta for potential DMA violations related to payment methods, search result prioritization, user control, and fee structures, with a 12-month timeline and possible fines up to 10% of revenues.
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