Nuked The new digital markets act, or DMA, is intended to rein in the power of the largest tech corporations. So far, the EU has tackled antitrust issues on a case-by-case basis.
The EU says that this should give users more choice in how they send messages. There’s also a requirement that users should be able to’freely choose their browser, virtual assistants or search engines’.
The legislation has n’t passed yet – the EU says the language has to be finalized and checked, at which point it’ll have to be approved by parliament and council. Vestager said she expects DMA to come into force’sometime in October’.
We have a deal on # DMA!. Tune into our press conference tomorrow 8:45 pic.twitter.com/krhhsoqg8u.
The commission can impose fines of up to 10 percent of its total turnover in the preceding financial year. In case of systematic infringements, the commission may ban them from acquiring other companies for a certain time.
The EU’s commissioner for competition, Margrethe Vestager, said the aim is for the DMA to make the tech sector’open and contestable’.
So it depends on your ideas, your work ethics, your ability to attract capital, whether you’ll be successful with your customers or not.’because of the systemic nature of behavior, that’s not necessarily the case today,’ said Vestager.
The DMA is broad in scope and intended to enable a range of future antitrust action. But also contains a number of demands for tech companies.
The DMA gathers together a number of antitrust fights that the EU has been waging over the past decade. The focus on data access is tied to the allegations that Amazon uses its analytics to gain an advantage over third-party sellers who use its platform.
In the digital markets act, there is a full toolbox where the sanctions become more and more severe. Eventually, there’s also the tool that you can break up a company if no change is happening, or if you are a repeat offender,’ Vestager said.
Politicians are taking a tough stance on abuses of market power in the tech sector. President Biden has nominated antitrust figures like Lina Khan and Jonathan Kanter to key government positions.
Dma will come into force on March 25, 4:09am et. Added estimated October date for DMA to come in.
