UE accuses Google and Apple of violating Digital markets act

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The European Union has sent two letters – with formal charges – to Apple and Alphabet, the parent company of Google which encompasses all the company's services, accusing the two tech giants of violating the Digital Markets Act, a European regulation that came into effect in March 2024, aimed at protecting users and consumers from unfair and ambiguous business practices in the realm of new technologies.

EU's accusations against Google
Alphabet is accused of the way Google’s search engine tends to place its own services in a more prominent position – or with more attractive graphics – while disadvantaging competitors’ services, a practice that violates the Digital Markets Act. Google Play Store is also facing criticism: according to the EU, Google is obstructing app developers from informing users that they might find the same services or products at lower prices on other platforms.

EU's accusations against Apple
For Apple, the EU has simultaneously made two specific decisions: the company must improve the integration of external devices with its operating systems and facilitate mechanisms for companies seeking greater interoperability. Furthermore, Apple must improve access to key iOS system functions for devices like smartwatches, headphones, or smart TVs from other brands. In case of violations of the Digital Markets Act, economic penalties are significant: 10% of global annual revenue for the first offense, rising to 20% in case of repeat offenses.

The formal accusations from the European Union could contribute to heightened tensions with the United States; indeed, Trump has already threatened to impose tariffs on European goods if the EU decides not to alter its approach toward American tech giants.