DMA - Regulatory Framework for Digital Platforms 
The DMA defines gatekeepers as companies that provide a "Core Platform Service" and meet certain qualitative criteria. Core platform services include, among others, online intermediation services, online search engines, video-sharing platform services, cross-platform electronic communication services, operating systems, web browsers, virtual assistants, cloud computing services, and online advertising services. These services are crucial as they serve as important gateways for business users to reach end users.
These companies must comply with the duties and prohibitions listed in the DMA to create fair conditions for business customers and end-users, thereby promoting competitiveness and innovation in the digital sector.
In response to the DMA, Google has announced plans to allow developers of non-game apps in the Google Play Store to offer alternative billing systems for in-app transactions and purchases for users in the European Economic Area (EEA).
This change reflects Google's efforts to adapt to new regulations while maintaining high standards of user protection. Developers who use alternative billing systems will receive a 3% reduction in the fees payable to Google Play.
Similar adjustments have been made by Apple.
Apple has announced changes to iOS, Safari, and the App Store to meet the requirements of the DMA. These include the admission of third-party app stores in Europe, as well as new options for payment processing and app distribution. However, Apple emphasizes that these changes also raise security concerns, and is therefore introducing additional protective measures to ensure the privacy and security of users.
The DMA stipulates that certain large digital platforms be classified as gatekeepers. These gatekeepers play a key role in the digital economy and exert significant control over platform ecosystems. The designated gatekeepers include:
Violations of the provisions of the European Union's Digital Markets Act (DMA) can lead to significant sanctions. These sanctions are intended to ensure that large online platforms designated as gatekeepers comply with DMA regulations. The provisions and obligations of the DMA for companies designated as gatekeepers will become fully binding in March 2024.
The main points regarding the sanctions are:
Lobbying related to the European Union's Digital Markets Act (DMA) has increased significantly in recent years, with technology companies spending considerable sums to influence EU digital policy. Here are some key facts:
Digital Markets Act
Digital Markets Act: ending unfair practices of big online platforms
Lobbying power of Amazon, Google and Co. continues to grow
Gatekeeper
The DMA defines gatekeepers as companies that provide a "Core Platform Service" and meet certain qualitative criteria. Core platform services include, among others, online intermediation services, online search engines, video-sharing platform services, cross-platform electronic communication services, operating systems, web browsers, virtual assistants, cloud computing services, and online advertising services. These services are crucial as they serve as important gateways for business users to reach end users.
These companies must comply with the duties and prohibitions listed in the DMA to create fair conditions for business customers and end-users, thereby promoting competitiveness and innovation in the digital sector.
Google and Apple Under Pressure to Adapt
In response to the DMA, Google has announced plans to allow developers of non-game apps in the Google Play Store to offer alternative billing systems for in-app transactions and purchases for users in the European Economic Area (EEA).
This change reflects Google's efforts to adapt to new regulations while maintaining high standards of user protection. Developers who use alternative billing systems will receive a 3% reduction in the fees payable to Google Play.
Similar adjustments have been made by Apple.
Apple has announced changes to iOS, Safari, and the App Store to meet the requirements of the DMA. These include the admission of third-party app stores in Europe, as well as new options for payment processing and app distribution. However, Apple emphasizes that these changes also raise security concerns, and is therefore introducing additional protective measures to ensure the privacy and security of users.
List of Gatekeepers and Their Platforms
The DMA stipulates that certain large digital platforms be classified as gatekeepers. These gatekeepers play a key role in the digital economy and exert significant control over platform ecosystems. The designated gatekeepers include:
- Alphabet Inc.
- Google Play
- Google Maps
- Google Shopping
- Google Search
- YouTube
- Android Mobile
- Alphabet's online advertising service
- Google Chrome
- Amazon.com, Inc.
- Amazon Marketplace
- Amazon Advertisings
- Apple, Inc.
- App Store
- iOS
- Safari
- ByteDance Ltd.
- TikTok
- Meta Platforms, Inc.
- Facebook Marketplace
- Facebook
- Instagram
- WhatsApp
- Messenger
- Meta Ads
- Microsoft Corporation
- LinkedIn
- Windows PC OS
Violations of the DMA
Violations of the provisions of the European Union's Digital Markets Act (DMA) can lead to significant sanctions. These sanctions are intended to ensure that large online platforms designated as gatekeepers comply with DMA regulations. The provisions and obligations of the DMA for companies designated as gatekeepers will become fully binding in March 2024.
The main points regarding the sanctions are:
- Minimum Penalties: The EU Parliament has established that the Commission can impose fines of "not less than 4% and not more than 20%" of the total global turnover in the previous fiscal year
- Structural or Behavioral Remedies: In cases of systematic non-compliance, the Commission can impose structural or behavioral remedies against gatekeepers. This includes the possibility of temporarily prohibiting gatekeepers from making acquisitions in DMA-relevant sectors to prevent or remedy further damage to the internal market
- Protection of Whistleblowers: The DMA is expected to make appropriate provisions to enable whistleblowers to inform competent authorities about actual or potential violations of this regulation and to protect them from retaliation
Lobbying Interests
Lobbying related to the European Union's Digital Markets Act (DMA) has increased significantly in recent years, with technology companies spending considerable sums to influence EU digital policy. Here are some key facts:
- Total Spending on Lobbying: Technology companies spend a total of more than 113 million euros annually on lobbying in the EU, an increase of 16.5% from 97 million euros in 2021. These figures are based on a report by Corporate Europe Observatory and LobbyControl.
- Main Actors in Lobbying: The ten largest digital companies account for more than one-third of the total lobbying expenditures, with a budget of 40 million euros. These companies include Meta (formerly Facebook), Apple, Google, Microsoft, and Amazon. Meta is the largest lobbyist with expenditures of 8 million euros in 2023, followed by Apple with 7 million euros.
- Lobbying and the DMA: The introduction of the DMA and the Digital Services Act (DSA) has led to an intensification of lobbying efforts. Tech companies are trying to influence EU policy, particularly regarding regulations that affect their market position.
Sources
Digital Markets Act
Digital Markets Act: ending unfair practices of big online platforms
Lobbying power of Amazon, Google and Co. continues to grow
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2 Comments
lightwo
2024-01-27 12:02:57
Surprising how Microsoft only had two of their services declared gatekeepers.
BTW, small typo, Apple Inc. should be a subheading and not a list item.
Pengin
2024-01-28 04:10:46
Thank you very much. Has been corrected :]
According to documents from Case Search , Microsoft Corporation's other services also fall under the DMA categories, e.g. 365, Bing Search, Edge WebBrowser, Microsoft Advertising, Outlook, etc.
Well, according to the note, however, they are still being investigated or waiting for rebuttals. Unfortunately, all the DMA information is somewhat older.