The European Commission has handed down its first-ever fines under the Digital Markets Act (DMA), targeting tech behemoths Apple and Meta for breaching the EU’s newly established rules governing the digital marketplace.
Apple is facing a hefty €500 million fine for violating the DMA’s regulations surrounding app stores, while Meta has been slapped with a €200 million penalty for its controversial “pay or consent” advertising model, which forces European Union users to pay for ad-free versions of Facebook and Instagram.
The DMA, which went into effect in 2024, lays out specific guidelines on how tech companies should operate within the European market. These fines follow year-long investigations into the two American giants’ practices.
Along with the fine, Apple has received a cease-and-desist order, compelling the company to make further adjustments to its products by the end of June. Failure to comply will result in additional daily fines.
As for Meta, the Commission is still reviewing the company’s recent changes to align itself with the DMA. Despite these procedural fines, they’re significantly less severe than last year’s hefty antitrust penalties—€1.8 billion for Apple and €797 million for Meta.
A senior EU official noted that these initial fines were determined with caution, as this is the first round of penalties under the DMA. Notably, Meta stopped its infringement in November, just months after the EU raised concerns.
In total, the European Commission issued five decisions on DMA-related matters on Wednesday. While both Apple and Meta received fines, the Commission also decided to close an investigation into Apple’s compliance with rules on browsers and default apps after it made changes that allowed competitors like Mozilla to gain a stronger foothold on iOS.
Additionally, the EU decided to remove Facebook Marketplace from the list of services it regulates under the DMA, a move that relieved part of Meta’s business from the law’s scrutiny.
However, the Commission hasn’t let up on Apple. It has escalated its enforcement against the tech giant’s app store practices, issuing a charge sheet regarding its dealings with alternative app marketplaces. While these findings are still under investigation, more fines for Apple could follow.
EU Competition Commissioner Teresa Ribera explained that the fines were a necessary response to both companies reinforcing dependency on their platforms, undermining fair competition. “We’ve taken firm but balanced action,” she stated, emphasizing the need for predictable and transparent enforcement.
Both Apple and Meta have vowed to fight the fines. Apple spokesperson Emma Wilson criticized the Commission’s actions, claiming they unfairly target the company. “Despite countless meetings, the Commission keeps changing the rules,” she said. Meta’s Chief Global Affairs Officer Joel Kaplan also fired back, calling the penalties a “multi-billion-dollar tariff” that could harm European businesses. He accused the EU of trying to handicap American companies while giving Chinese and European competitors a pass.
This latest clampdown on U.S. tech giants comes amid escalating trade tensions, with the Trump administration previously suggesting retaliatory measures in response to the EU’s actions. However, EU President Ursula von der Leyen has made it clear that the Commission will not be swayed by external pressures and remains committed to enforcing its digital rules.
