EU big tech DMA investigation: Adtech Permutive comments

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Earlier this week the European Commission announced it was commencing anti-competitiveness investigations into some of the biggest tech firms in the world.

Under investigation are Alphabet (owner of Google), Apple and Meta, which the EU is checking for potential breaches of the Digital Markets Act (DMA).

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EU antitrust boss Margrethe Vestager, said that any tech firms found to be in breach of the rules could be handed huge fines of up to 10% of their annual turnover.

Husna-GrimesCommenting on the EU’s tech investigation, Husna Grimes, VP of Global Privacy at Permutive, said: “The European Commission is making a statement and demonstrating the potential force of the DMA to level the playing field in the digital market.

“By announcing these investigations so soon after its requirements came into force earlier this month, there can be no doubt for industry that the Commission is ready to act, with investigations due to complete within a year.

“It is making clear that the recent flurry of changes to gatekeepers’ services don’t go far enough for the Commission, and that more was expected, given the time they’ve had to comply with these rules.

“The DMA was meant to level the playing field for the digital market and benefit consumers by increasing their choices. It seems that anything short of this won’t be acceptable, but we must wait and see how this will play out in terms of addressing non-compliance.

“Based on the speed at which the Commission has acted, unlike GDPR, which moved much slower, it would be surprising not to see considerable fines awarded to cement the DMA as a hard-hitting EU competition law.

“This is also just the beginning. The industry can expect to see more on Meta’s pay or consent model, as well as Apple’s new fee structure for alternative app stores.

“Meta’s ad-free model is already being considered by EU data protection authorities for potential non-compliance with the EU GDPR, but this time it would be looked at with a competition lens.”