In a significant move on April 23, 2025, the European Union fined Apple and Meta a total of €700 million for violating digital competition regulations under the Digital Markets Act (DMA). Apple was hit with a €500 million fine after the EU determined that it restricted developers from offering cheaper alternatives outside its App Store. Meta was fined €200 million over its controversial “pay for privacy” system, which the EU found violated rules regarding user consent and personal data handling on Facebook and Instagram.
The penalties, which mark the first enforcement of the DMA, have sparked concerns about escalating tensions between the EU and the United States, especially under the leadership of President Donald Trump. The fines are viewed as potentially aggravating the already strained US-EU relations, particularly as Trump has criticized European digital laws as trade barriers. There is growing worry that the fines could prompt the US to impose retaliatory tariffs on European goods, further complicating trade talks between the two sides.
The EU’s decision also came after a series of investigations that began in 2024, with both companies facing additional scrutiny. Apple, already under fire for anti-competitive practices in its App Store, may face more significant penalties if it does not comply with the commission’s demands within 60 days. Similarly, Meta could see further fines related to its handling of personal data and user consent policies unless it adjusts its business model to meet EU standards.
In response, both tech giants have expressed strong opposition. Apple plans to appeal the fine, arguing that the EU’s actions unfairly target the company and undermine user privacy and security. Meta, on the other hand, claimed that the EU’s decisions put American companies at a disadvantage, especially compared to their Chinese and European counterparts. As the EU continues to enforce its digital laws, both companies remain at the forefront of the ongoing battle over privacy, competition, and international trade.