Apple Urges EU to Scrap Digital Markets Act, Citing Innovation Concerns
Tech behemoth Apple is pushing back against the European Union, urging it to scrap the recently enacted Digital Markets Act (DMA). The company argues that the regulation is stifling its business and hindering innovation in Europe.
The DMA, which came into force in November 2022, targets 'gatekeepers'—large digital platforms like Apple, Google, Amazon, and Meta. It mandates transparency, requiring these platforms to disclose how they rank search results and manage advertisements. Moreover, it prohibits gatekeepers from self-preferencing, restricting user choices, misusing data, and limiting interoperability.
Apple's concerns about the DMA reflect the increasing regulatory pressure it faces in Europe. The company argues that the act is making it harder for it to do business in the region. Meanwhile, Apple is also engaged in negotiations with chipmaker Intel, with Intel seeking an investment from the tech giant.
The European Commission is currently reviewing the DMA's effectiveness and has invited stakeholder feedback. It can impose fines of up to 10% of a company's global revenue for non-compliance. Apple's push to repeal the DMA adds another layer to the ongoing debate about regulating tech giants in Europe.
