Source: AFP
The EU is ready to deploy its full arsenal to force big tech companies to change their behavior online, the bloc’s competition chief said on Wednesday, a day before a sweeping new law comes into force.
In an interview with AFP, Margrethe Vestager said she did not expect full compliance with the landmark Digital Markets Act (DMA) immediately — but that Brussels would not shy away from tougher measures if necessary.
“If you look at our history, we’ve made it somewhat credible that we’re going to use the tools that we have,” Vestager said.
The DMA will force six “gatekeeper” companies — Google’s Alphabet, Amazon, Apple, TikTok parent ByteDance, Meta and Microsoft — to follow a list of dos and don’ts from Thursday .
European users should see a number of changes, including selection screens on their devices that offer more options for web browsers and search engines.
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“What we need here from the gatekeepers … is to change behaviour,” Vestager, who is also the Commission’s executive vice-president, told AFP in her sunny 12th-floor office in Brussels.
The new law gives the European Commission, the EU’s powerful antitrust authority, the power to impose heavier fines and Brussels can even break up companies.
“We will see some compliance, full compliance by some companies. But I think there will be cases of non-compliance,” Vestager admitted.
The competition commissioner pointed to a series of cases brought against tech companies since 2014 to prove her point that Brussels means business.
Most recently, the EU regulator fined Apple 1.8 billion euros ($1.9 billion) on Monday for preventing users from accessing alternative music streaming subscriptions.
But, he insisted, “we’re not in this to break up companies, we’re not in this to give you a big fine. We’re here to push for compliance.”
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More “choice”
Vestager said Brussels had at its disposal not just the new law, but all the antitrust tools used in previous individual cases against companies.
“So if the creativity in illegal behavior also increases, then we have all the tools, even if the DMA wouldn’t catch it,” he stressed.
The new rules were ultimately about giving users more options, Vestager said.
With all eyes on what happens after Thursday, he said a big question was how the rules would affect app stores.
Apple has said its customers will be able to download competing app stores, though some app developers say the changes are too complicated to work in practice.
Apple has been one of the most vocal critics of the DMA, even legally challenging aspects of the law. ByteDance and Meta are also taking the EU to court.
Vestager would not comment on Apple’s controversial changes or challenges.
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“The courts will decide and that will also guide our actions going forward.”
“Amazing” Europe
Beyond the DMA, the committee casts a wide net across the digital landscape.
Also in the spotlight is last month’s announcement that Microsoft is partnering with French startup Mistral AI with a €15 million investment.
The commission said it would examine the deal as part of its investigation into deals between major digital market players and artificial intelligence developers.
Microsoft has poured billions into US-based OpenAI of ChatGPT fame, which Brussels is now investigating as a covert merger.
Vestager would not comment on the investigation, but appeared upbeat about competition concerns about the Microsoft-Mistral partnership.
Source: AFP
“It’s much, much, much smaller” than Microsoft and OpenAI, he said.
“Of course, it’s important to be vigilant … but I think the risk of a competition concern is much less in this situation.”
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Vestager is expected to leave her role after June’s European elections, but she will not be drawn on her next step.
“The weird thing is, I don’t know what I’m going to do,” he said. “I know for a fact that I’m not done with Europe. It’s an amazing place and there’s still a lot to do.”
Source: AFP