DMA

The Digital Markets Act (DMA) is a landmark European Union regulation that came into full effect in March 2024. It aims to ensure fair and open digital markets by imposing specific obligations on large technology platforms designated as 'gatekeepers.' The DMA addresses anti-competitive practices in the digital sector, particularly concerning app stores, search engines, social media platforms, and operating systems. Companies with significant market power must allow interoperability, enable users to choose alternative services, and refrain from self-preferencing their own services over competitors. The regulation specifically requires gatekeepers like Apple to allow sideloading of apps and alternative app marketplaces, fundamentally changing how users can access and install software on their devices.

The DMA designates gatekeepers based on criteria including: providing core platform services to over 45 million monthly active EU users and over 10,000 yearly active business users, having an annual EEA turnover of at least €7.5 billion in the last three financial years or a market capitalization of at least €75 billion, and operating in at least three EU member states. Designated gatekeepers include Apple, Alphabet (Google), Meta, Amazon, Microsoft, and ByteDance (TikTok). These companies must comply with obligations such as allowing third-party app stores, enabling interoperability with competitors, providing business users with access to their own data, and not pre-installing certain apps. The European Commission can impose fines up to 10% of global turnover for non-compliance, with repeated infringements potentially reaching 20% of global turnover. Several investigations into potential non-compliance have already been initiated, particularly concerning Apple's implementation of the DMA requirements.