But it could have been a lot worse for both companies.
Transcript:
For the first time since its inception, the European Union has levied fines for breaching its Digital Markets Act. The culprits, according to the European Commission, are Apple and Meta — which have been fined a combined $797 million.
Meta was hit with a $570 million fine because the Commission found that, for a period of time, users weren’t given the option of using free versions of the company’s various platforms.
Meta, of course, disagrees with the decision, saying, “This isn’t just about a fine; the Commission forcing us to change our business model effectively imposes a multibillion-dollar tariff on Meta while requiring us to offer an inferior service.”
Apple, meanwhile, will cough up roughly $300 million for violations stemming from how app developers communicate with users within its App Store.
However it seems the two tech giants got off easy. The DMA stipulates it can fine a company up to 10% of its annual global revenue for a first offense. Meta’s revenue totaled $164 billion last year, while Apple brought in nearly $400 billion.
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