Meta, Apple slapped with €700 million fine by EU

Apple pays a penalty of €500 million and Meta €200 million

by e4m Staff
Published: Apr 23, 2025 7:03 PM | 2 min read

The European Union has made headlines by imposing a combined fine of €700 million (about $800 million) on tech giants Apple and Meta, marking the first major enforcement action under its new Digital Markets Act. This landmark move signals the EU’s determination to rein in the power of Big Tech and promote fairer competition in the digital marketplace.

Apple received the larger penalty, €500 million, for violating the DMA’s “anti-steering” provisions. The European Commission found that Apple prevented app developers from informing users about alternative purchasing options outside its App Store. This restriction hindered developers from offering potentially cheaper deals and limited consumer choice, which the Commission deemed neither necessary nor proportionate.

Meta, the parent company of Facebook and Instagram, was fined €200 million over its controversial “pay or consent” model introduced in late 2023. Under this system, European users had to either consent to their personal data being used for targeted advertising or pay a subscription for an ad-free experience. The Commission ruled that Meta’s approach failed to provide a genuine, less data-intensive alternative and did not adequately respect users’ rights to freely consent to personal data processing.

These fines are the first under the DMA, which came into effect last year and targets “gatekeeper” platforms with significant market influence. The law aims to ensure consumers and businesses have more choice and control, and to prevent entrenched digital monopolies. Both companies have been given 60 days to comply with the EU’s directives or risk further daily penalties.

The penalties arrive amid tense transatlantic relations, with the Trump administration criticizing the EU for what it sees as unfair targeting of American firms. Nevertheless, EU officials stress that the enforcement is about upholding fair competition and protecting user rights, not singling out US companies.

Apple and Meta have both indicated plans to challenge the decisions, arguing that the rules are unclear and that the penalties unfairly impact their business models. However, the EU has made it clear that failure to comply could lead to even steeper fines, setting a precedent for future enforcement against other tech giants operating in Europe.