The European Commission has today (6 September 2023) named Alphabet, Amazon, Apple, ByteDance, Meta and Microsoft as 'gatekeepers' under the terms of the Digital Markets Act (DMA).
Between them, the six major tech firms operate 22 core platform services which the DMA has made subject to new regulations aimed at promoting fair competition and consumer choice.
Companies must meet their obligations within six months of being designated gatekeepers and prepare a compliance report detailing the solutions implemented to ensure a level playing field within the digital market.
A crucial requirement for gatekeepers is to conduct independent annual audits of their customer profiling methods under Article 15 of the legislation.
Also outlined in the DMA are rules relating to how these firms can operate and interact with other businesses and consumers, as well as a number of requirements relating to their obligations to advertisers and publishers who use their platforms.
For gatekeepers, failure to comply could result in fines of up to 10% of annual global revenue, or 20% in instance of repeated infringement, in addition to periodic penalty payments of up to 5% of global daily turnover.
For a full explanation of the terms of the legislation – including how it will work in tandem with two other pieces of landmark EU legislation, the AI Act and Digital Services Act – read our breakdown of the Digital Markets Act.
ADS delivery systems
Number-Independent Interpersonal Communication Services
Video sharing platforms
The EU is setting the pace for AI regulatory initiatives globally, but legislative momentum is building all around the world, with compliance implications for companies using AI in their business.
Holistic AI are industry leaders in AI auditing and the wider field of governance, risk and compliance. Schedule a call with one of our specialists to find out how we can help your organisation navigate existing and emerging legislation, both in the EU and beyond.
DISCLAIMER: This blog article is for informational purposes only. This blog article is not intended to, and does not, provide legal advice or a legal opinion. It is not a do-it-yourself guide to resolving legal issues or handling litigation. This blog article is not a substitute for experienced legal counsel and does not provide legal advice regarding any situation or employer.
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