European Union could enact, enforce major new antitrust rules by early 2023

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Significant new antitrust regulations in the European Union, which could force Apple and others to make sweeping changes to its business, are now expected to come into effect in early 2023.

Previously, the EU was planning on implementing the regulations in the fall. Despite the pushed-back timeline, EU antitrust chief Margrethe Vestager said that enforcements against unruly "gatekeepers" could arrive soon after, TechCrunch has reported.

Those regulations are included in the Digital Markets Act, a proposal to enact new rules that would rein in the power of tech giants. In Apple's case, the DMA could compel the company to make major c changes to the App Store, Siri, and more.

"The DMA will enter into force next spring and we are getting ready for enforcement as soon as the first notifications come in," Vestager said in a speech in Berlin on Thursday.

Some of the more significant changes to Apple's business model could include forcing the company to allow users to download apps from outside of the App Store. More recent additions to the DMA could require Apple to make iMessage and FaceTime interoperable with other communications platforms, such as WhatsApp.

Prior to Thursday, it wasn't clear when exactly enforcement would come into effect after the proposal was enacted. Some estimates suggested that it could take months for the EU to enforce its new rules. Vestager, however, made it clear that the EU is preparing to enforce the rules soon after the DMA takes effect.

"This next chapter is exciting. It means a lot of concrete preparations 's about setting up new structures within the Commission, pooling resources ... based on relevant experience," Vestager said. "It's about hiring staff. It's about preparing the IT systems. It's about drafting further legal texts on procedures or notification forms. Our teams are currently busy with all these preparations and we're aiming to come forward with the new structures very soon."

EU lawmakers approved the DMA provisionally back in March. It must still be approved by the European Parliament and the European Council before it's enacted.

Per the DMA, however, gatekeeping companies that are out of compliance could face fines totaling up to 10% of their total worldwide annual revenue. That rises to 20% for repeat offenders.

Apple is under increasing antitrust scrutiny not just in the EU, but also in the U.S., Japan, South Korea, and the Netherlands.

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16 Comments

darkvader

said about 1 year ago

This is absolutely needed. Hopefully the EU will pull it off.

rob53

said about 1 year ago

darkvader said:

This is absolutely needed. Hopefully the EU will pull it off.

Baloney. The EU is deflecting from all the BS they’re involved in. Apple has a product just like all other companies. The EU simply wants Apple’s money and access to their hardware without paying for it.

The arrogance of the EU to attempt to fine these companies based on worldwide revenue is blatantly wrong. The EU has no authority over anything outside the EU and any attempt to do this needs to stop. They are trying to rule the world. Time for them to go away.

avon b7

said about 1 year ago

rob53 said:

darkvader said:

This is absolutely needed. Hopefully the EU will pull it off.

Baloney. The EU is deflecting from all the BS they’re involved in. Apple has a product just like all other companies. The EU simply wants Apple’s money and access to their hardware without paying for it.
The arrogance of the EU to attempt to fine these companies based on worldwide revenue is blatantly wrong. The EU has no authority over anything outside the EU and any attempt to do this needs to stop. They are trying to rule the world. Time for them to go away.

It's not arrogance. It's a dissuasory measure which seeks to ensure fines have proportionate impact on companies who are deemed to be not complying with EU law.

I sure you have no issues when Apple re-directs money earned within the EU to non-EU destinations in an effort to lessen tax burdens.

These are not 'anti-Apple' practices. They are applied to many different companies and when you look at fines, logically, most of those are actually against EU companies.

rob53

said about 1 year ago

avon b7 said:

rob53 said:

darkvader said:

This is absolutely needed. Hopefully the EU will pull it off.

Baloney. The EU is deflecting from all the BS they’re involved in. Apple has a product just like all other companies. The EU simply wants Apple’s money and access to their hardware without paying for it.
The arrogance of the EU to attempt to fine these companies based on worldwide revenue is blatantly wrong. The EU has no authority over anything outside the EU and any attempt to do this needs to stop. They are trying to rule the world. Time for them to go away.

It's not arrogance. It's a dissuasory measure which seeks to ensure fines have proportionate impact on companies who are deemed to be not complying with EU law.

I sure you have no issues when Apple re-directs money earned within the EU to non-EU destinations in an effort to lessen tax burdens.

These are not 'anti-Apple' practices. They are applied to many different companies and when you look at fines, logically, most of those are actually against EU companies.

It’s a common practice in the US to locate in a state with lower state and local taxes. Still have to pay federal taxes but I refuse to believe this practice isn’t done in every country. If you’re a stock holder of any company it’s the responsibility of that company to make money, including finding ways to reduce taxes. Apple’s use of Ireland was legal when they entered into their agreement. It’s my understanding the EU changed the rules afterwards, maybe specifically to grab money from Apple. It wouldn’t be the first time a country did a money grab.

jungmark

said about 1 year ago

What a bunch of clowns. Users have a choice. They could go with Apple with all the limitations or with Android where it’s a free for all. The market chose Apple. No one is forced to buy Apple. Apple didn’t put up barriers to entry.