One of Apple, Google, and Meta’s key opponents in the EU steps down
Over the past few years, the European Union has been giving major tech companies like Apple, Google, Meta, Amazon, and Microsoft quite a few headaches. This is largely due to new laws like the Digital Markets Act (DMA), which aims to foster a fairer and more competitive digital marketplace, and the Digital Services Act (DSA), which focuses on online platforms’ responsibilities to remove illegal content and safeguard users’ rights.
The key figure driving the EU’s efforts to regulate Big Tech – actions that Apple’s CEO Tim Cook has called “total political crap” – is Margrethe Vestager. However, she won’t be leading these efforts for much longer.
A decade-long opponent of Big Tech is leaving
The European Commissioner for Competition role requires reappointment every five years. Margrethe Vestager has completed two terms since starting in 2014 and has been a key player in the EU’s various disputes with Apple and other major tech companies over the past decade. According to a recent report, she will not be nominated for a third term.
Vestager has been at the helm of competition and antitrust policy in the EU for a decade, gaining a reputation for slapping major US tech companies with multibillion-euro fines.
Starting in 2017, Vestager took action against Google with three antitrust rulings, fining the tech giant €8.25 billion (more than $9 billion when directly converted) for supposedly abusing its market power. Google has fought back by appealing these decisions. The EU’s highest court backed the first fine in January, while the other cases are still in play.
In 2020, the European General Court overturned Vestager’s decision requiring Apple to pay €14.3 billion to Ireland after the Cupertino tech giant received tax breaks that she considered illegal state aid. This ruling sparked Cook’s “political crap” remark. The commission is appealing the decision, and a final judgment is expected in the next few months. 
Margrethe Vestager (left) with Tim Cook at Apple Park.
Meanwhile, Apple is now staring down a $38 billion fine following a preliminary ruling by the European Commission (EC) regarding DMA violations. Under the DMA, Apple is required to open up its ecosystem in Europe, letting users select different default apps and choose alternative app stores for downloads. However, the EC claims that Apple’s App Store rules violate the DMA by blocking app developers from directing consumers to other options for offers and content.
But that is not all – thanks to the same law, Apple Intelligence, the tech giant’s collection of AI features, won’t be making its way to Europe.
Beyond Apple and Google, other tech giants like Meta are also facing scrutiny in the EU. The company is dealing with charges from EU antitrust regulators for allegedly not adhering to the Union’s tech regulations. Additionally, Meta has also paused its Meta AI, the free AI assistant available across its apps, in Europe.
Even though Margrethe Vestager is stepping down, I don’t think this will spell the end of trouble for big US tech companies. A successor will definitely step in, and those hefty fines will still loom large if the tech giants fail to comply with EU laws.