Meta to challenge EU restrictions on Messenger and Marketplace products

Meta, the parent company of Facebook, is gearing up to fight back against the strict regulations imposed by the European Union (EU). According to a report by AFP, Meta has announced its intention to appeal the inclusion of its Messenger and Marketplace products in the regulations introduced in September.

The European Union has been advocating for more robust regulations for major tech companies, with the goal of safeguarding European consumers online and promoting competition in an industry largely dominated by U.S. tech giants. In September, the EU unveiled a list of 22 companies, including Meta, Apple, and ByteDance, the parent company of TikTok, that would be subjected to new regulations under the Digital Markets Act (DMA).

The DMA aims to bring about significant changes in the practices of the largest tech firms to establish a fairer market through a set of guidelines and restrictions. Meta’s decision to appeal specifically focuses on the inclusion of Messenger and Marketplace within the DMA. A spokesperson for Meta stressed that the appeal seeks clarification on legal points related to the designation of these products under the legislation.

The company emphasized its commitment to complying with the DMA and expressed a willingness to collaborate with the European Commission to ensure compliance. The European Commission, the EU’s antitrust body, has not commented on Meta’s appeal at this time.

The DMA identifies certain services as “core platform” services owned by major tech companies considered “gatekeepers.” This applies when a service has more than 45 million monthly active users and over 10,000 yearly active business users in the EU. The affected companies, including Meta, are required to fully comply with the DMA regulations by March 6, 2024. The primary goal of the DMA is to prevent larger tech entities from stifling the growth of smaller competitors by acquiring them.

Meta and Snap have also received formal requests for information (RFI) from the European Commission regarding the safety measures implemented for minors on their platforms, in line with the provisions of the EU’s Digital Services Act (DSA). Similar RFIs were previously issued to TikTok and YouTube. Under the DSA, Meta and Snap are obligated to provide the requested information to the Commission by December 1.

The Commission will assess the responses and may initiate proceedings under Article 66 of the DSA, which grants the authority to impose fines for providing inaccurate or incomplete information in response to information requests. Non-compliance may result in the imposition of periodic penalty payments.

The EU’s regulatory measures, including the DMA and DSA, are aimed at addressing concerns about the operations of major tech companies, which critics argue have negatively impacted users. These initiatives position the EU at the forefront of global efforts to regulate big tech.

In recent years, the EU has been actively involved in advocating for more stringent regulations and oversight of major tech companies to ensure fair competition and better protection for consumers. As Meta and other companies navigate the evolving regulatory landscape, their compliance will be closely scrutinized by EU authorities.