EU Challenges Apple, Microsoft in New Push to Rein in Big Tech Dominance

As part of the European Union’s historic crackdown on the digital markets, Microsoft Corp. and Apple Inc. are the subject of new investigations.

From EU regulators, which may ultimately result in significant changes to how the companies conduct business in the region.

On Wednesday, a list of 22 services that are subject to the EU’s Digital Markets Act was made public. These services include.

Things like Alphabet Inc.’s Google Search, Apple’s App Store, and Amazon.com Inc.’s marketplace. Now businesses.

Such as Facebook and TikTok from Bytedance Ltd. and Meta Platforms Inc., have six months to comply with the new regulations or challenge them in an EU court.

EU Challenges Apple Microsoft in New Push

EU Challenges Apple Microsoft in New PushApple and Microsoft claim that iMessage and Bing are not sufficiently well-known to be subject to regulation under the Digital Markets Act (DMA) of the European Union.

The DMA, which was adopte in July 2022, aims to limit the influence of powerful internet giants. Like Apple, Amazon, Google, and Meta by requiring them to alter the way they integrate digital services and manage user data.

It permits a variety of antitrust actions and addresses issues like the right to remove software from devices, better access controls for personal data, improved advertising transparency.

The elimination of vendors’ self-preferencing of their own services, and some onerous app store requirements for developers.

The law is intended to go after big businesses, or “gatekeepers,” that offer “essential platform services” and are most likely to engage in unethical conduct.

This includes businesses that have a market value.

At least €75 billion ($81 billion) or have annual sales in Europe of over €7.5 billion. As well as those that offer specific applications like web browsers, virtual assistants, and messaging services. Social media platforms, and have at least 45 million EU users each month.

On September 6, the EU is schedule to provide a list of the gatekeepers. Who will be subject to the regulation.

According to a Financial Times report, Microsoft has argued. That Bing shouldn’t be subject to the same regulatory requirements as its rival.

Google because Bing only has a market share EU Challenges Apple Microsoft in New Push of about 3% and because under the DMA’s platform requirements.

Microsoft would be require to give users a choice of other search engines. Which the company claims could give Google an additional market share boost.

Separately, Apple has maintained that iMessage should not be cover by the law. Because it does not have the required 45 million active monthly users to qualify as a gatekeeper.

Apple hasn’t provided official data on iMessage users in a while, but given that the messaging. Feature comes preinstalled on every iPhone, iPad, and iMac, there may be as many as 1 billion users worldwide.

Apple’s reasoning is confusing, while Microsoft’s may be plausible.

Zach Meyers, senior research researcher at the Centre for European Reform, said Microsoft could legitimately claim that a platform.

With a 3% market share is not an “essential gateway” for enterprises and that its arguments “may have some weight.”

Even if Microsoft’s extensive ecosystem and strong Bing advertising may raise some eyebrows. The speaker said.

EU Challenges Apple Microsoft in New Push

The search engine’s low market share shows. How intractable Google’s advantage is, despite Microsoft’s best efforts.

Meyers claimed that he was perplexe by Apple’s justification. That it was difficult to see how iMessage could fail to reach the required number of monthly users.

Unlike Bing, iMessage is crucial to retaining users within the iOS environment. Politicians obviously wanted it to be regulate, according to Meyers.

“Apple has already played hardball in the UK. Requesting that regulatory and investigative. Processes should be slow down. This currently appears to be the EU’s plan of action.