The European Commission on Wednesday imposed a €700 million fine on tech giants Apple and Meta for breaching the EU’s Digital Markets Act.
Apple was handed a €500 million penalty, while Meta was fined €200 million. The tech giants were accused of unfair practices that reinforced user and business dependence on their platforms. Both companies retain the right to challenge the fines in court.
The DMA, which came into effect in 2022, aims to curb anti-competitive behavior by dominant digital platforms operating within the European Union. Wednesday’s decisions mark the commission’s first enforcement action under the new legislation.
EU Commission Vice-President Teresa Ribera said the companies had failed to comply with the DMA’s core requirements.
“Apple and Meta have fallen short of compliance… by implementing measures that reinforce the dependence of business users and consumers on their platforms,” she stated.
Apple was found to have restricted app developers from marketing their services outside the Apple App Store. The commission said Apple failed to prove these limitations were necessary or proportionate.
Reacting to the fine, Apple announced plans to appeal. In a statement, the company described the decision as unfair and damaging.
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“Today’s announcements are yet another example of the European Commission unfairly targeting Apple… It is also bad for products, and forces us to give away our technology for free,” it said.
Meta’s fine focused on its pay-or-consent model, implemented between March and November 2024. Under the model, users in the EU had to choose between a free, ad-supported version of Facebook and Instagram or a paid, ad-free version.
The commission said this approach failed to offer users a genuine choice to limit data usage while still accessing equivalent services.
Both companies have been ordered to comply with the DMA within 60 days or risk further sanctions, including periodic penalty payments.
While the commission maintains that the enforcement is legally grounded, the decision may heighten trade tensions between the EU and the United States.
Washington’s Republican leadership has criticized such fines, viewing them as de facto taxation of American businesses.
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