EU Reviews US Big Tech Probes Amidst Political Pressure
The European Union (EU) is reviewing investigations on US big techs including Apple, Google, and Meta. The review of EU’s tech probes comes at a time when big techs have urged the incoming president Donald Trump to step in and assist with the overzealous European enforcement.
According to the Financial Times, the probe review will cover cases initiated under the digital markets regulations from March 2024.
The Political Angle
The move by the EU to reassess big tech regulations is expected to reduce probes on American companies by the European Commission. The decision to reevaluate previous probes comes as Trump gets ready to take power next week. It also comes amidst mounting criticism over the handling of big tech cases by the EU.
US big tech executives have embraced Trump’s return to power with the hope that his term will be characterized by lighter regulation on the technology industry. Last week, Meta CEO Mark Zuckerberg asked Trump to stop the EU from fining US-based tech companies. Zuckerberg said that over the last 20 years, EU watchdogs had pushed Meta to pay penalties exceeding $30 billion.
“It’s going to be a whole new ballgame with these tech oligarchs so close to Trump and using that to pressurise us. So much is up in the air right now,” A Senior EU Diplomat said. briefed on the review.
Zuckerberg has expressed confidence that the Trump administration will defend US interests abroad. The decision to reassess big tech cases also comes at a time when EU legislators have asked the Commission to slow down on the US.
Putting a Pause on Fines
Investigations of EU cases against Google, Apple, and Meta are at varying stages. As the review commences, all potential fines and decisions against US big techs will be paused. However, technical work on these cases will not be affected. The charges on Google’s EU probe were to be concluded in 2024. The search engine was being investigated for allegedly favoring its app store.
Reports from Brussels show that EU regulators are currently awaiting political direction before finalizing their decision on Meta, Apple, and Google lawsuits. The European Commission has maintained its commitment to effective enforcement of EU laws.
“There is no delay in finalising the opened non-compliance cases, and especially not due to any political considerations,” an EU spokesperson said.
The ongoing cases were “not yet ready at a technical level”, the spokesperson added, arguing that such investigations took time because of their complexity, novelty, and the “need to ensure that commission decisions are legally robust”.
Staying Firm
Trump’s victory has been a big factor in the review of big tech probes in Europe. Prior to his re-election, EU regulators were pursuing big techs aggressively. The Commission passed several laws to open Europe’s market and tighten big tech regulation. The Digital Markets Act, for instance, is aimed at curbing market abuse by big US tech platforms. In March 2024, the EU commended investigations on Google, Meta, and Apple under this law.
But EU legislators have asked regulators not to give into political pressure. They argue that EU problems should be sacrificed in order to prevent a diplomatic row. In a letter to the European Commission President, Stephanie Yon-Courtin, a legislator who participated in drafting EU tech laws said that the Digital Market Act should not be taken hostage.
“Please reassure me that your cabinet and yourself are fully supporting the effective implementation of the DMA, without further delay,” Yon-Courtin said.
The EU is probing Apple for self-preferencing its app store. As part of resolving the matter, Brussels is also consulting Apple’s rivals on the tech group’s proposals to make its iOS operating system compatible with connected devices.
Google and Meta are also being probed for market dominance and breaching user data privacy respectively. The EU has reached out to Apple rivals to discuss their proposal on making iOS compatible on connected devices.
