Digital Markets Act

CalendarToday
timer
1 min read
Digital Markets Act Blog Image

Overview:

Recently, the European Commission has designated six technology giants – Alphabet , Amazon, Apple, ByteDance, Meta, and Microsoft – as gatekeepers under the Digital Markets Act (DMA).

About Digital Markets Act

  • It is a groundbreaking European law aiming to prevent large online platforms that connect consumers with content, goods, and services from abusing their market power.
  • The European Commission believes that keeping the big internet companies in check can lead to more competition and choice, greater innovation, better quality, and lower prices.
  • Key Measures
    • Tighter restrictions on how digital gatekeepers can use people’s data—users must give their explicit consent for their activities to be tracked for advertising purposes.
    • Messaging services and social media platforms teaming up and sharing users. This could mean, for example, Meta-owned WhatsApp users being able to send messages directly to a completely different messaging service, such as Telegram.
    • Presenting users with the option to uninstall preloaded applications on devices.
    • Gatekeepers are banned from ranking their own products or services higher than others in online searches.
  • According to the rules, any service offered by the company that meets two criteria are gatekeeper designated. These are:
    • They have a market value of at least EUR 75 billion (approximately $82 billion), and
    • Either own a social platform or app that is used by at least 45 million people every month or have at least 10,000 active business users.
    • The bulk of the DMA will become enforceable during 2023.

 


Q1) What is the European Commission?

The European Commission is one of the key institutions of the European Union (EU), responsible for proposing and implementing EU policies, enforcing EU law, and managing the day-to-day operations of the EU.

Source: Digital Markets Act: Apple, Google, Microsoft, Meta and others are now ‘gatekeepers’ in the EU