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EU slaps Apple, Meta with A$1.2bn in fines for breaking digital competition rules

Mega fines imposed by the EU threaten to cause more tension between them and Donald Trump, as the two sides discuss a deal to avoid his sweeping tariffs.

The EU has slapped Apple and Meta with 700 million euros (AU$1.2 billion) in fines for breaking digital competition rules. Picture: AFP
The EU has slapped Apple and Meta with 700 million euros (AU$1.2 billion) in fines for breaking digital competition rules. Picture: AFP

The EU has slapped Apple and Meta with 700 million euros (AU$1.2 billion) in fines for breaking digital competition rules.

The penalties, handed down on Wednesday, threaten to cause more tension in the already fraught relationship between the European Union and US President Donald Trump, as the two sides discuss a deal to avoid his sweeping tariffs on the EU.

The European Commission fined Apple 500 million euros (AU$890 million) after concluding the company prevented developers from steering customers outside its App Store to access cheaper deals.

Meta was fined 200 million euros (AU$355 million) over its “pay or consent” system. Picture: AFP
Meta was fined 200 million euros (AU$355 million) over its “pay or consent” system. Picture: AFP

The EU also fined Meta 200 million euros (AU$355 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 failed to comply within 60 days, the commission said, threatening the US giants with “periodic penalty payments”.

US President Donald Trump frequently lashes out at the EU over its digital laws and taxes. Picture: AFP
US President Donald Trump frequently lashes out at the EU over its digital laws and taxes. Picture: AFP

The EU bolstered its legal arsenal over the past two years with major twin laws, the Digital Services Act and the DMA.

But since Mr Trump’s return to the White House, there have been concerns that the EU would shy away from enforcing them.

Mr 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, aluminium 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 EU had taken “firm but balanced enforcement action”.

Originally published as EU slaps Apple, Meta with A$1.2bn in fines for breaking digital competition rules

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Original URL: https://www.weeklytimesnow.com.au/news/world/eu-slaps-apple-meta-with-au12-billion-in-fines-for-breaking-digital-competition-rules/news-story/a8317b925ac6dc768d23ccd5efbc5b4d