The European Union has fined tech giants Apple and Meta a combined total of nearly $800 million for allegedly violating its new digital competition laws.
In a statement issued on Wednesday, the European Commission announced that Apple would pay €500 million ($571 million), while Meta the parent company of Facebook and Instagram faces a €200 million ($228 million) penalty. Both companies were found to be in breach of the EU’s Digital Markets Act (DMA), which aims to promote fair competition and user rights in digital services.
The commission accused Apple of blocking app developers from informing users about cheaper offers outside its App Store a practice known as “anti-steering.” Under the DMA, developers must be free to guide users to alternative purchasing options without interference.
“Apple must remove all restrictions that prevent developers from steering users to better deals and stop repeating such behaviour,” the Commission said.
Apple has vowed to appeal the decision, calling the ruling “unfair.”
“These announcements are yet another example of the European Commission unfairly targeting Apple,” the company said in a statement, arguing that the ruling threatens user privacy and innovation.
Meta, meanwhile, was fined for its “consent or pay” model introduced in November 2023, which allows users to either pay for ad-free services or consent to targeted ads. The Commission said the model violated user data rules under the DMA.
Joel Kaplan, Meta’s head of global affairs, criticised the decision, accusing the EU of disproportionately targeting American companies.
“This isn’t just about a fine. Forcing us to change our business model is like imposing a multi-billion-dollar tariff on Meta,” he said.
Despite the penalty, the EU acknowledged Meta’s partial efforts to comply with the law by introducing a version of its ad service that uses less personal data. The company now has 60 days to make further changes or face additional sanctions.
The decision comes amid growing tensions between the EU and the US over digital regulation and trade. Recently, former US President Donald Trump introduced a 20% reciprocal tariff on EU goods, later reduced to 10% during ongoing trade talks. Trump had also criticised EU actions against American tech firms, describing them as “overseas extortion.”