The European Commission is preparing to charge tech giants Apple and Meta for not adhering to the Digital Markets Act (DMA), Reuters reports, citing sources familiar with the matter.
The Commission views both companies as high-priority cases and plans to issue preliminary findings before the summer break in August with a final decision predicted for November.
The DMA is a key piece of legislation that aims to curtail the dominance of Big Tech by ensuring that they do not obstruct smaller competitors and allow users to switch between services such as social media platforms and app stores more easily.
Apple is likely to be the first to face charges, followed by Meta, according to insiders.
Both companies have been under investigation since March, alongside Google, as part of the Commission’s efforts to enforce the new rules.
While the Commission and Meta have not commented on the situation, Apple has expressed confidence in its compliance with the DMA and its ongoing constructive engagement with the Commission.
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By GlobalDataThe preliminary findings, akin to antitrust charges, could lead to remedies proposed by the companies to address the concerns raised.
Should they fail to comply, they may face fines of up to 10% of their global annual turnover.
The EC’s investigation into Apple is focused on the company’s app store rules, which allegedly limit app developers from informing users about cheaper alternatives outside of the App Store.
Additionally, the Commission is scrutinising Apple’s new fees on app developers.
A separate probe into Apple’s Safari browser choice screen is expected to take longer.
Preliminary finding about Meta pertains to its new subscription model for an ad-free experience on Facebook and Instagram, which is also under scrutiny.
This development coincides with Apple facing a class action lawsuit in California, where approximately 12,000 female employees allege a significant pay disparity compared to male colleagues in similar roles.