The seven companies will in future fall under the EU digital law as “gatekeepers”.
(Photo: Reuters (5), dpa (2))
Brussels A group of seven large tech companies will in future fall under the EU digital law as “gatekeepers”. Amazon, Apple, Microsoft, Samsung, Alphabet (Google), Meta (Facebook) and Bytedance (Tiktok) have informed the EU Commission that they meet the criteria. This was announced by EU Internal Market Commissioner Thierry Breton on Tuesday.
“Gatekeepers” are particularly large, dominant platform operators who play an intermediary role between a large number of users and companies. From March 2024, the Digital Markets Act (DMA) will oblige these “gatekeepers” to adhere to a set of ground rules. For example, the online marketplace Amazon is no longer allowed to display its own products preferentially, but must treat the products of other retailers equally.
The smartphone manufacturers Apple and Samsung must allow their customers to delete pre-installed apps. Users should also be able to install apps that are not offered in the App Store on their smartphones. The search engine operator Google must grant all companies equal access to its maps.
Thierry Breton expects “impeccable behavior”
In principle, “gatekeepers” should be prevented from using their market power to disadvantage smaller competitors and restrict the choices of users.
According to the DMA, a “gatekeeper” is someone who has at least 45 million active monthly users and 10,000 annual commercial users. The company must also be active in at least three EU countries and generate annual sales of at least 7.5 billion euros.
“With great power comes great responsibility and impeccable conduct,” Commissioner Breton said in a video message. The Digital Markets Act will ensure fair competition in the digital sector. Start-ups would no longer be prevented from reaching new customers. And consumers will be able to switch providers more easily in the future and benefit from better prices.
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The commission will now examine the submissions of the seven companies and will officially determine the “gatekeepers” by September 6th. The Brussels authority also has the option of naming other companies. In the past, the travel portal Booking.com and the online marketplace Zalando had been traded as possible candidates.
Companies then have six months to comply with all DMA requirements. Violations of the requirements can result in penalties of up to ten percent of global sales. In the case of repeat offenders, the fine can increase to 20 percent of the turnover. In the case of systematic violations, the Commission also reserves the right to take further measures, up to and including breaking up the company.
More: EU Commission threatens to break up Google
