Apple and Meta fined ?6,783 crore: European Commission takes action; Both companies accused of unfair business practices

The European Commission has taken action against Apple and Meta in the Unfair Business Practice case. Under the Digital Market Act (DMA), a fine of ?6,783 crore has been imposed on both the companies. This includes a fine of 500 million euros (Rs 4,868 crores) on Apple and 200 million euros (Rs 1,947 crores) on Meta. The Commission on Wednesday (April 23) found Apple and Meta guilty of anti-competitive practice. Under the DMA, Apple’s App Store rules and Meta’s pay or consent ad model have been termed wrong. Apple and Meta, who were found guilty in these cases, were targeted due to the rules of its App Store. The Commission alleges that Apple does not allow developers to choose payment options outside the App Store, which ends competition. At the same time, Meta has been accused of asking European users for money for ad-free versions of Facebook and Instagram. The Commission says that the model of watching ads or paying money makes users helpless. This is a violation of the rule of giving free choice to the users. Apple ordered to make changes in the products Apple has been ordered to make changes in its products by the end of June. If the company does not agree, an additional fine can be imposed. In the case of Meta, the Commission is investigating the changes made by it in 2023. What is the Digital Market Act (DMA)? DMA was implemented by the European Commission in 2024. This rule is applicable in 27 countries of the European Union (EU). Its purpose is to control big tech companies (such as Apple, Google and Meta) so that small businesses get a market environment. This also gives free choice to the users. Apple accused of deliberate targeting Apple accused the European Commission of deliberate targeting, saying that it had spent thousands of engineering hours and dozens of changes to meet the DMA. At the same time, Meta’s Global Affairs Chief Joel Kaplan said that the European Commission is targeting American companies, while Chinese and European companies are allowed to operate on different standards.

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