The European Commission has imposed fines totaling €700 million on tech giants Apple and Meta for breaching the European Union’s Digital Markets Act (DMA), in a move that risks intensifying ongoing trade tensions between the EU and the United States.
Announced on Wednesday, the penalties mark some of the first significant enforcement actions under the DMA, a sweeping set of regulations aimed at curbing the dominance of large digital platforms and ensuring fair competition in the tech sector.
Apple was fined €500 million after the Commission determined the company had unfairly restricted app developers from directing users to alternative purchasing options outside its App Store. Regulators said the practice violated provisions of the DMA designed to ensure business users can freely communicate and transact with their customers.
Meta received a €200 million penalty over its “pay or consent” advertising model, which the Commission said offered users a false choice: either pay a fee or consent to the use of their personal data for targeted advertising. According to regulators, this model runs counter to the DMA’s goal of providing users with meaningful privacy choices.
While the fines are substantial, they fall on the lower end of the potential penalties under the DMA, which allows for fines of up to 10% of a company’s annual global turnover. EU officials said the relatively modest penalties reflect the early stage of DMA enforcement and the limited duration of the infractions.
In the same announcement, the Commission also closed two investigations into the companies. One inquiry into Apple’s browser choice screen practices was dropped, as was a probe into whether Facebook Marketplace constituted a core platform service under the DMA.
“Today’s decisions send a strong and clear message,” said EU Competition Commissioner Teresa Ribera. “The Digital Markets Act is a crucial instrument to unlock potential, choice, and growth by ensuring digital players can operate in contestable and fair markets. Apple and Meta have fallen short of compliance by reinforcing the dependence of users on their platforms.”
Apple confirmed it will appeal the decision. “Today’s announcements are yet another example of the European Commission unfairly targeting Apple,” the company said in a statement. “These decisions are bad for privacy, bad for product quality, and force us to give away our technology for free.”
Meta has not yet issued a public response.
The enforcement action comes as the EU seeks to assert regulatory control over global tech firms, while Washington has expressed concern that European tech rules disproportionately impact American companies.