EU asks if new tech rules should apply to Bing and iMessage.
EU Antitrust Regulators Seek Feedback on Bing and iMessage Compliance with New Tech Rules
By Foo Yun Chee
October 9, 2023 – 7:14 AM PDT
The European Commission is currently investigating whether Microsoft’s Bing, Edge, and Microsoft Advertising, as well as Apple’s iMessage, should comply with the new Digital Markets Act (DMA) regulations, according to sources familiar with the matter. These investigations were initiated after the companies disputed the EU competition regulator’s classification of these services as core platform services under the DMA.
The DMA imposes obligations on major tech companies like Microsoft, Apple, Google, Amazon, Meta Platforms, and ByteDance, including the requirement to allow third-party apps or app stores on their platforms and facilitate easier switching between default apps and competitors. To gather insights, the Commission has sent out questionnaires to rivals and users, asking them to assess the importance of Microsoft’s services and Apple’s iMessage compared to competing services. The questionnaires also inquire about the specific features that business users rely on and how these services fit into the companies’ ecosystems. Additionally, the Commission is seeking information on the number of users utilizing these services. Respondents have been given a short timeframe to provide feedback, as the Commission aims to complete its investigation within five months.
Reporting by Foo Yun Chee, editing by Deborah Kyvrikosaios and Angus MacSwan
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How might the market power of Microsoft and Apple in the digital sector affect competition and innovation
On, the potential barriers to switching to alternative services, and any concerns they may have about the market power of Microsoft and Apple in the digital sector.
The investigation is part of the EU’s effort to ensure fair competition in the digital market and prevent dominant platforms from abusing their market power. The DMA aims to create a level playing field for all players in the market and promote innovation and consumer choice. By allowing third-party apps and app stores on their platforms, tech companies would be fostering competition and giving users more options.
Microsoft and Apple have voiced their concerns over the classification of their services as core platform services. They argue that their products do not meet the criteria outlined in the DMA and should not be subject to the same obligations as platforms like Google and Amazon. They also claim that their services promote competition and innovation in the market.
The feedback from rivals and users will be crucial in determining whether Bing, Edge, Microsoft Advertising, and iMessage should fall under the scope of the DMA. If the Commission finds that these services are indeed core platform services, Microsoft and Apple could face significant fines and be required to make changes to their products and policies to comply with the regulations.
This investigation highlights the growing focus on the power of tech giants in the digital economy. Regulators are increasingly scrutinizing their practices and seeking to ensure fair competition and protect consumers’ interests. The outcome of this investigation could have far-reaching implications for the digital sector and shape the future of competition in the industry.
The Commission is expected to announce its findings and any potential enforcement actions in the coming months. In the meantime, tech companies continue to engage with regulators and provide their arguments and evidence in support of their positions. The industry and the wider public will be watching closely as the outcome of this investigation unfolds.
Overall, the investigation into the compliance of Bing, Edge, Microsoft Advertising, and iMessage with the DMA regulations reflects the EU’s commitment to promoting fair competition and ensuring a level playing field in the digital market. The feedback from stakeholders will play a crucial role in determining the fate of these services and shaping the future of competition in the industry.
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