Digital Markets Act (DMA) | EU imposed millions of penalties against Apple and Meta due to violations of digital law

Published on: April 23, 2025 / update from: April 23, 2025 - Author: Konrad Wolfenstein

Digital Markets Act (DMA) | EU imposed millions of sentences against Apple and Meta for violations of digital law - Image: Xpert.digital

700 million euros in fine: DMA puts Apple and Meta under pressure

Competition vs. Marktmacht: Apple and Meta punished for DMA violations

On April 23, 2025, the European Commission imposed punishments according to the Digital Markets Act (DMA). The US tech corporations Apple and Meta have to pay 700 million euros, with Apple being burdened with 500 million euros and meta with 200 million euros. According to the authority, the companies have violated European digital law, which is intended to promote competition in the digital market and restrict the market power of the large technology groups.

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The punished punishments and their reason

The EU Commission has occupied Apple with a fine of 500 million euros (about $ 570 million). The company is accused of making app developers preventing consumers accessible to offers outside of the app store. Specifically, Apple should prevent developers from informing users directly about cheaper alternatives outside the ecosystem. The Commission argues that users cannot fully benefit from alternatives and potentially cheaper offers.

Meta must pay a penalty of 200 million euros (around $ 230 million). The punishment refers to the company's so-called “Pay-OR Consent” model. With this model, users of Facebook and Instagram have to choose a monthly fee for an ad -free version and a free version with personalized advertising. According to the EU Commission, this model does not offer users enough opportunities to choose a service that uses less personal data. The punishment refers to the period of the alleged legal violation between March 2024 and November 2024.

The Digital Markets Act as a legal basis

The punishments were imposed on the basis of the Digital Market Act (DMA), a law of the European Union that is supposed to make the digital economy more fairer and more competitive. The DMA has been in force since the beginning of March 2024 and determines new rules for so -called “gatekeepers”. Companies that have such a strong economic position are considered gatekeepers that they have a significant impact on the European internal market, are active in several countries, have a large user base and are active on the market in the long term.

The law aims at restricting the market power of large technology groups by imposing certain prohibitions and requirements for them. Among other things, the tech groups have to enable app developers to direct consumers to offers outside the app store free of charge. In addition, companies have to obtain the consent of their users if they want to share personal data via various platform services of a group.

In the event of violations of the DMA, penalties of up to ten percent of the global annual turnover threaten, and this sentence can increase to 20 percent for repeat offenders. Measured by this, the punishments now imposed are still comparatively moderate. At Apple, the 2024 annual turnover was around $ 391 billion, and $ 164.5 billion at META.

Reactions of the companies concerned

Apple has already announced that the punishment is legally contested. The company regards the commission's procedure as unfair and argues that it is forced to submit technology free of charge. "We invested hundreds of thousands of development hours and made dozens of changes to meet this law," said Apple. Despite countless meetings, the Commission repeatedly postponed targets.

A slightly different situation is emerging at Meta. The company apparently introduced a different version of the free personalized advertising model in November 2024. There should be a new option in which less personal data is used. The Commission is currently examining this new option, while the punishment imposed on the period of the alleged legal violation between March and November 2024.

Both Apple and Meta have a period of 60 days to meet the decisions or to risk further punishments.

EU sanctions: explosive for transatlantic tensions?

The penalties imposed could have an impact on the current tensions between the USA and the EU. The Republican Chairman of the US Federal Trading Commission (FTC), Andrew Ferguson, recently expressed an event that it appears to be a form of taxing American companies.

The decision of the EU Commission falls into a delicate phase of transatlantic relationships. According to reports, the announcement of the sanctions was postponed several times, including from concern about retaliation measures by the US government under Donald Trump and the risk of further escalation in the intersecting trade war.

Internally, the EU Commission is said to have discussed whether the right time for the announcement of the punishments before or after the inauguration of Trump, after the announcement of the first tariffs or even after its “Liberation Day” should be. However, the Brussels authority always emphasizes that proceedings against American tech companies are not related to the current tensions with Washington because of the customs dispute.

Meaning for the digital market and consumers

The decision marks a significant milestone in European digital policy. It is the first time that the EU Commission impose punishments under the DMA. The measures should create more competition in digital services and offer users more freedom of choice.

The peculiarity of digital platforms is that some of them represent a market themselves. For example, if the most popular search engine always shows the products of their own group at the top, all other providers have fewer chances. In the case of messenger services, the so-called network effect means that a change to alternative providers is only practical if many other users go along.

The DMA should address these problems and ensure that no other providers are disadvantaged with a dominant position. The punishments that have now been imposed send a clear signal to the tech industry that the EU is determined to enforce its new digital rules.

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Comparison with previous EU measures against tech companies

The current punishments are located in a number of measures that the EU has imposed on US tech companies in recent years. The EU Commission Apple recently had an antitrust law with a penalty of 1.84 billion euros. This was the highest fine that the EU had ever imposed on a US technology group.

In comparison, the penalties imposed under the DMA are more moderate, which may be due to geopolitical tensions. According to some reports, the EU is said to have deliberately avoided Apple and Meta with the possible maximum penalty payments in order to avoid escalation in the trade dispute with Donald Trump.

In addition, the DMA set of rules is still relatively new and could be challenged in court. The EU Commission Attempts to enforce the rules of the DMA by working with the tech companies instead of only relying on punishments.

Turn in the digital market: How Apple and Meta have to react

The imposed punishments against Apple and Meta could have far -reaching consequences for the affected companies and the digital market as a whole. Both companies now have to decide whether they want to adapt their business models in Europe or to act legally against the decision.

For Apple, it is about central aspects of his business model in the App Store, while Meta has to rethink its data use and advertising model. The EU Commission has already announced that it will check the changes introduced by Meta in November 2024.

For consumers in Europe, the decisions could lead to more freedom of choice and more favorable offers in the long term. App developers could benefit from lower fees and more flexibility, while users may receive more control over their personal data from social media.

However, the enforcement of the DMA is only the beginning of a longer process. It is to be expected that the companies concerned will gradually adapt their practices and that the EU Commission will continue to have a vigilant eye on compliance with the new rules.

Digital Markets Act: Europe sets clear limits for tech giants

The imposition of the first punishments under the Digital Markets Act marks a turning point in the regulation of digital markets in Europe. With penalties of a total of 700 million euros against Apple and Meta, the EU Commission sends a clear signal that it wants to enforce the new rules for large technology groups.

The decision is made in a time of increasing geopolitical tensions between the EU and the USA and could further tighten it. At the same time, it is an important step towards more competition and fairness in digital markets, from which ultimately consumers and smaller companies could benefit.

The tech companies now face the challenge of adapting their business models to the new European rules or leading lengthy legal disputes. Whatever you choose, the digital market in Europe will continue to change and the DMA will play a central role in this.

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