The European Parliament approved the Digital Services Package, consisting of Digital Services Act (DSA) and from Digital Markets Act (DMA), presented by the European Commission in December 2020. A set of rules for online platforms that will apply across the Union. In the DSA rules for the protection of online users. While in the DMA a series of rules to guarantee the freedom of enterprise. Even limiting the ‘gatekeepers’, companies like Apple and Google, to name a few.
The European Parliament approves the Digital Services Package
The first comment on the approval comes from Margrethe Vestager, which has followed these measures from the beginning. “The European Parliament has taken a measure that is unprecedented in the world: strong and ambitious regulations for online platforms. The Digital Services Act will allow the protection of the rights of online users. The Digital Markets Act creates fair and open online markets. For example, illegal hate speech can be curbed online. And products bought online must be safe. In addition, large platforms must refrain from promoting their interests, sharing data with other businesses and enabling new app stores. Because with size comes responsibilities: as a large platform there are things you must do and things you must not do “.
Particular economic importance will have the DMA, which will directly impact the ‘gatekeepers’. These are companies such as those of Big Tech: Google, Amazon, Meta, Apple and Microsoft. Which will have to guarantee competition on their platforms.
This means, for example, it allows you to have multiple stores on iOS for Apple, or different management of advertising data collected by Facebook and Instagram. All measures for which the European antitrust authorities have intervened several times. But these new rules not only give a legal framework, but allow for huge fines to be commissioned.
In fact, these companies can face fines of up to “10% of its total worldwide turnover in the previous financial year”. Something that could revolutionize the way Big Tech companies manage their platforms.
The next steps include adoption by the EU Council, which will have to sign the measures. At this point they will enter the official gazette and will enter into force 20 days after publication. Therefore, by the autumn of this year they will be active.
At the moment, Big Tech companies have not communicated their reactions to the regulations. If you are looking for more information, here you will find the FAQ written by the Commission for DSA and DMA.
Source
European Commission