According to Reuters, seven international corporations have acknowledged that they fall under the scope of the European Union’s new law on digital markets. Representatives from Amazon, Apple, Google, Microsoft, and a few other companies confirmed that they meet the criteria for being a “gatekeeper” corporation, meaning they impact the IT market. This implies that they will now be subject to strict regulations, and their business practices in the EU will have to be reviewed.
For instance, Apple will have to comply with three norms:
- Allow app developers to use third-party payment systems for receiving payment for their digital content and services.
- Allow users to install apps outside of the App Store, as well as install third-party app stores.
- Ensure compatibility of iMessage with other communication services.
The law comes into effect on March 5, 2024, which means that Apple will have to implement all of the EU’s requirements in its products by that date.
Gatekeeper companies will be prohibited from promoting their services on preferential terms, giving them preference, or preventing users from using alternatives. A company that violates this rule may be fined up to 10% of its annual global turnover.