
The European Union has come down hard on Apple and Meta, slapping them with fines for falling afoul of the new Digital Markets Act regulations, but will their swift appeals change anything?
Quick Takes
- Apple and Meta face a combined fine of €700 million from the EU.
- The fines are the first enforcement of the EU’s Digital Markets Act.
- Apple and Meta argue the EU’s decisions unfairly target American tech giants.
- The rulings could provoke trade tensions between the U.S. and EU.
EU’s Heavyhanded Penalties
The European Union, in a landmark move, fined Apple and Meta a total of €700 million ($798 million) for antitrust violations under the Digital Markets Act. Apple faces a larger penalty of €500 million for impeding developers’ ability to inform users about cheaper third-party purchase options outside of its App Store. Meta has been fined €200 million, primarily for its controversial practice of compelling users to either accept personalized ads or pay for an ad-free experience on platforms like Facebook and Instagram.
These fines follow a comprehensive, year-long investigation by the European Commission as part of the Digital Markets Act—a legislation designed to keep a check on the dominance of large tech firms. This move signifies the EU’s commitment to ensuring fair competition in digital markets dominated by American tech titans.
Reactions and Retaliations
Both companies harshly criticized these rulings, arguing that EU regulations apply uneven standards to American versus European or Chinese companies. Apple argues that the penalties jeopardize user privacy and security, while Meta, through spokesperson Joel Kaplan, criticizes the measures as an economic burden comparable to a “multi-billion-dollar tariff” imposed on U.S. firms.
The ruling could trigger further tensions between the United States and the European Union. A White House memo has already suggested the possibility of retaliatory measures if the EU persists in its actions against American tech companies, reflecting President Trump’s history of leveraging tariffs in such disputes.
The Next Steps
The imposed penalties mark the first application of the Digital Markets Act, which was adopted in 2022 with the aim of curbing the market power of big tech conglomerates. While Apple plans to appeal the fine, citing threats to innovation and user security, Meta has been issued a cease-and-desist order demanding changes to its ad policies within 60 days to avert further penalties.
Apple and Meta Are First to Be Hit by E.U. Digital Competition Law
The European Commission said the Silicon Valley companies violated the Digital Markets Act, a law meant to crimp the power of the largest tech firms. https://t.co/sYlsqt4dQt via @NYTimes
— Karol Cummins – New Acct (@karolcummins) April 23, 2025
The EU’s steadfast approach represents a growing global trend to hold tech giants accountable for their market behavior. Nonetheless, these actions underscore the ongoing struggle for a balanced regulatory environment where smaller companies can coexist with industry behemoths, a cornerstone aspiration of the EU’s legislative efforts.
Sources:
- Apple, Meta Hit by $798 Million in EU Tech Fines After Trump Threats
- EU hits Apple and Meta with nearly $800 million in fines amid U.S. trade tensions
- Apple and Meta hit with massive fines for violating EU law