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Apple and Meta fined upto $800 million for breaching Digital Markets Act

BBG News

Story Highlights

  • Apple and Meta were fined a combined $800 million for breaking the EU’s Digital Markets Act rules.
  • While Apple breached its anti-steering obligation, Meta’s model breached DMA obligation.
  • Both companies must fix their practices within 60 days or face additional fines from the European Commission.

The European Commission has imposed penalties on both Apple and Meta, totaling approximately €700 million, for violating the guidelines established by the Digital Markets Act (DMA). Specifically, Apple faces a fine of around €500 million, while Meta will pay €200 million as a result of their non-compliance.

Apple is accused of blocking developers from steering users to cheaper payment options outside the App Store

The Data Management Act (DMA) was implemented in the year 2024, with the primary aim of preventing tech giants from maintaining monopolistic control as gatekeepers. A significant provision within this act is that it enables app developers to inform users about alternative, less expensive deals or payment methods outside of prominent app marketplaces such as Apple’s, without facing obstruction or incurring additional costs.

Today, the European Commission determined that Apple and Meta have violated the Digital Markets Act.

Both Apple and Meta were imposed fines totaling €500 million and €200 million respectively.

The companies must adhere to the EU’s decisions within a 60-day timeframe.

ll the information below:

– The European Commission’s findings of noncompliance with the Digital Markets Act against Apple and Meta.
– Fines totaling €500 million for Apple and €200 million for Meta were imposed.
– Both companies are required to comply with the EU’s decisions within 60 days.

— EU Competition (@EU_Competition) April 23, 2025

Nevertheless, it is rumored that Apple persisted in imposing such restrictions. Developers found it challenging to steer users towards their own sites, and Apple went as far as displaying cautionary screens that made users apprehensive about purchasing from other sources. The Commission argued against these practices, stating that Apple needed to revise its approach accordingly.

Last November, there were indications suggesting that Apple might become the initial technology company to receive a significant penalty under the newly implemented Digital Markets Act of the European Union.

Simultaneously, Meta faced penalties for its “Consent-or-Pay” approach. This model permitted users to either agree to data tracking for advertisements or pay to eliminate ads on Facebook and Instagram. The European Union stated in their announcement that this option did not truly provide users with a genuine choice.

After the announcement, Epic Games countered by accusing Apple of charging illegal fees, using intimidating screens, and limiting options for third-party stores, labeling this behavior as “malicious adherence.” Epic Games also mentioned Google in the post, asking regulatory bodies to take action against them.

Update: The European Commission has determined that Apple is breaching the Digital Markets Act by imposing fees and limitations on transactions conducted off the App Store. This means Apple will have to discontinue these practices, which benefits both developers and consumers alike!

— Epic Games Newsroom (@EpicNewsroom) April 23, 2025

Currently, Apple and Meta have 60 days to comply with orders issued by the European Commission. Failure to do so may result in additional penalties totaling approximately $800 million. The Commission is actively collaborating with these companies to make sure they adhere to the regulations outlined in the Digital Markets Act.

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2025-04-23 23:11

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