The European Union has fired a bold warning shot at Big Tech—fining Apple and Meta a combined €700 million under its newly enforced Digital Markets Act (DMA), risking fresh fallout with U.S. President Donald Trump.
The landmark penalties—€500 million for Apple and €200 million for Meta—were announced on Wednesday, marking the EU’s first major enforcement under its sweeping digital competition rules. Both tech giants stand accused of blocking fair competition and misusing personal data in Europe.
And while the fines alone are hefty, they may be just the beginning.
Apple Hit for Blocking Cheaper App Deals
Apple’s €500 million fine stems from its alleged practice of preventing developers from directing users to cheaper options outside of the App Store. The EU says this unfairly stifled competition and kept users locked into Apple’s ecosystem.
Despite previously being fined €1.8 billion in March 2024 for similar behavior, Apple now faces even greater penalties if it fails to comply within 60 days, as the Commission warned of “periodic penalty payments.”
In response, Apple fired back, claiming the ruling “forces us to give away our technology for free” and is “bad for privacy, bad for security, and bad for our users.” The company says it will appeal the decision.
Meta Under Fire for ‘Pay or Consent’ Privacy Model
Meta’s €200 million fine targets its controversial “pay or consent” model introduced in late 2023, which forces Facebook and Instagram users to either pay for ad-free access or give up their personal data to keep using the platforms for free.
The EU says the tech giant failed to offer a real choice, and didn’t provide an alternative version of its services that didn’t rely on intrusive data personalization.
Meta’s top policy chief Joel Kaplan—who has close ties to Trump—called the ruling a “multi-billion-dollar tariff” disguised as regulation, accusing the EU of unfairly singling out successful American companies.
Bigger Than a Fine: A Transatlantic Power Struggle
The fines land at a sensitive time. Trump has already branded EU digital laws as “non–tariff trade barriers” and has a long history of clashing with Brussels over tech regulation and tariffs. His administration imposed 25% tariffs on EU imports like steel and autos—and now, with ongoing talks to ease those tariffs, this latest move could throw a wrench into the negotiations.
Meanwhile, EU officials insist the enforcement is not political.
“These fines send a strong and clear message,” said EU Antitrust Commissioner Teresa Ribera. “We are taking firm but balanced action to uphold digital rights and competition.”
