The EU officially proposedDigital Markets Act (Digital Markets Act, DMA), andDigital Services Act The Digital Services Act (DSA) is integrated into the Digital Services Package, which is expected to manage the Internet services provided by large technology companies within the EU to prevent them from abusing their market size and affecting fair competition.
As previously explained, the Digital Markets Act is intended to prevent technology companies from forming a monopoly in the EU market, while the Digital Services Act is intended to prevent technology companies from affecting competition in service content and digital advertising content, while also avoiding issues such as personal privacy.
Among them, the new law will require technology companies that act as "gatekeepers" to allow users to download and install content through third-party software markets, or directly install software through sideloading. In addition, developers must be allowed to provide third-party payment systems within software services and promote service content through channels other than the platform provided by the "gatekeeper".
The "gatekeeper" must also allow developers to use it to provide software services, such as integrating text messaging, phone making and other functions. In addition, it must also allow developers to access hardware functions, such as NFC, secure elements, or complete processor computing functions on the phone.
On the other hand, the new law also requires that all software services must be able to be removed from the device and allow users to cancel any subscription services seamlessly. Digital voice assistant services on the device must also be able to be manually changed to other service options.
As for data collection, the new law will also require "gatekeepers" to share data fairly with developers and competitors so that such data can be used transparently.
In the Digital Markets Act, the EU further stipulates that "gatekeepers" cannot pre-install or require users to only use specific software services, or require developers to use specified browser engines, payment systems, etc. before they can list software services on the software market. It also stipulates that "gatekeepers" cannot allow their own software services and products to have higher publicity effects and priority. It also includes that data collected from specific services cannot be applied to other services to avoid unfair competition models.
In the future, the EU will set up an independent group and appoint independent managers to supervise the actions of technology companies within the EU.
The new law will also require tech companies to pay an annual fee of 0.1% of their global net profits as EU regulatory costs, which is expected to increase EU revenue by €2000 million to €3000 million annually. Violations will result in fines of 6% of global revenue, and repeat offenders may even face a ban from conducting business within the EU.
The Digital Services Act is expected to take effect this fall after being reviewed and approved by the European Council. Once enacted, it is expected to significantly alter the services and products currently offered by companies like Apple and Google.
