Apple (AAPL.O) stands ready to prevent both an EU fine and browser option mandate because it has adjusted its iPhone browser settings to comply with the Digital Markets Act (DMA) regulations which target Big Tech market control. The European Commission started its DMA investigation in March last year and plans to finish it before early next week according to inside sources.
The Commission expressed worries that Apple’s iPhone browser interface restricted users from selecting alternative browsers or search engines. The EU ruling against American firms coincided with rising tensions between President Donald Trump who threatened to impose tariffs on countries that fine U.S. companies. The EU competition authority chose not to make any statements about the matter.
The DMA establishes specific requirements and restrictions that Big Tech companies must follow to enable users to switch between competing online services including social media platforms and browsers and app stores which promotes competition for smaller companies. The DMA contains penalties that reach as high as 10% of a company’s global yearly revenue for non-compliance. The Commission will close the browser investigation next week while imposing fines on Apple and Meta Platforms for DMA violations and ordering them to comply according to the sources.
The current Apple case examines whether the company restricts app developers from notifying users about external offers that exist outside its App Store. The Meta investigation examines its European ad-free subscription service launched in November 2023 because competitors and users have criticized it while regulators demand a free alternative choice.
