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Brussels (dpa) – The European Commission on Wednesday imposed fines on Apple and Meta totalling 700 million Euro, accusing the two US-based tech giants of violating European Union legislation on digital markets.

Apple was ordered to pay 500 million Euro, while Meta received a 200 million Euro penalty. 

The companies are alleged to have violated the EU’s Digital Markets Act (DMA), which regulates large online platforms operating in the bloc.

The penalties could have an impact on the current tensions between the United States and the EU, particularly over trade. The Republican leadership in Washington sees fines imposed by Brussels on big US businesses as a form of taxation.

The Commission, the EU’s executive arm, argues that proceedings against US companies are not related to geopolitical tensions, and that they are “firm but balanced.”

“Apple and Meta have fallen short of compliance with the DMA by implementing measures that reinforce the dependence of business users and consumers on their platforms,” EU Commission Vice-President Teresa Ribera said.

Apple is accused by Brussels of having restricted app developers in marketing their products outside Apple’s own app store and failing “to demonstrate that these restrictions are objectively necessary and proportionate,” a Commission press release said.

Wednesday’s fines are the first non-compliance decisions under the DMA which entered into force in 2022. 

The fines can still be contested in court. Apple announced it would appeal against the fine.

The penalties could in theory have been higher: the EU law provides for the possibility of imposing fines of up to 10 percent of annual global turnover. For repeat offenders, this rate can rise to 20 percent.

Last year, Apple reported a turnover of just under 400 billion Dollar while Meta stated a turnover of around 165 billion Dollar. (23 April)

The editorial responsibility for the publication lies with dpa.