The EU has approved new measures to curb big tech’s market influence. Its new Digital Markets Act (DMA) seeks to ban anti-competitive acts and compel popular messaging providers like WhatsApp, Messenger, iMessage, and others to open up and collaborate with smaller messaging platforms.
The EU’s press release on the matter states:
“During a close to 8-hour long trilogue (three-way talks between Parliament, Council, and Commission), EU lawmakers agreed that the largest messaging services (such as Whatsapp, Facebook Messenger, or iMessage) will have to open up and interoperate with smaller messaging platforms if they so request. Users of small or big platforms would then be able to exchange messages, send files or make video calls across messaging apps, thus giving them more choice. As regards interoperability obligation for social networks, co-legislators agreed that such interoperability provisions will be assessed in the future.”
According to this statement, the EU wants popular messaging services to be interoperable with smaller messaging platforms. However, it is unclear whether the rule would also compel the big messaging platforms to collaborate, allowing users to transmit messages from one app to another.
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Top league social messaging app companies have to pay hefty fines if they fail to comply with the new guidelines of interoperability
If that is the case, businesses such as Apple and Meta will be forced to open up their messaging platforms. While this may be advantageous for end-users and small messaging platforms, it may pose some privacy concerns. Because many of the major messaging applications utilize various encryption algorithms, providing interoperability while respecting user privacy may be difficult.
To prevent issues, the EU will include a staggered deadline in the final accord, allowing corporations to achieve varying degrees of interoperability over time.
Companies that fail to comply with the new guidelines will face fines of up to 10% of their entire worldwide revenue in the previous fiscal year. For repeated violations, the punishment will be increased to 20%. In the case of systematic violations, the EU may also prohibit companies from purchasing other companies for a period of time.
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Talking about the new regulation, an Apple spokesperson told The Verge that the company is “concerned that some provisions of the DMA will create unnecessary privacy and security vulnerabilities” for users, while other provisions could prohibit the company “from charging for intellectual property.” The spokesperson further added that Apple plans to “continue to work with stakeholders throughout Europe in the hopes of mitigating these vulnerabilities.”
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In addition to social messaging communications interoperability standards, the Digital Markets Act would tighten down on anti-competitive behavior by big companies. The legislation would limit the combination of personal data from several sources, allow users to download and install apps from third-party platforms, bar corporations from bundling services and prohibit self-preferencing methods.
It should be noted that the Digital Markets Act has not yet been approved. The language must yet be finalized by the EU before it can be adopted by the Parliament and Council. According to EU Competition Commissioner Margrethe Vestager, the DMA should be into effect “sometime in October.” By that time, the regulations may have undergone more adjustments and alterations.
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