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Thursday, Oct 02, 2025

EU unveils new bill to curb power of tech giants

The European Union unveiled landmark legislation on Tuesday that lays out strict rules for tech giants to do business in the bloc. The draft legislation, dubbed the Digital Services Act (DSA) and the Digital Markets Act (DMA), outlines specific regulations that seeks to limit the power of global internet firms on the European market. Companies including Google, Apple, Amazon, Facebook and others could face hefty penalties for violating the rules.
News agencies reported on the content of the drat The landmark draft law is set to be presented on Tuesday. EU antitrust czar Margrethe Vestager and EU digital chief Thierry Breton presented the draft on Tuesday, after the content of the new rules was leaked to the media on Monday.

EU competition chief Margrethe Vestager said that the bloc's new rules seek to bring "order to chaos" and update the bloc's previous digital rules to address — and reign in — the power of tech giants that dominate the market. The dual legislation sets out of rules sets out a list of do's, don'ts and penalties for internet giants:

- Companies with over 45 million EU users would be designated as digital "gatekeepers" — making them subject to stricter regulations.

- Firms could be fined up to 10% of their annual turnover for violating competition rules.

- The could also be required to sell one of their businesses or parts of it (including rights or brands).

- Platforms that refuse to comply and "endanger people's life and safety" could have their service temporarily suspended "as a last resort."

- Companies would need to inform the EU ahead of any planned mergers or acquisitions.

- Certain kinds of data must be shared with regulators and rivals.

- Companies favoring their own services could be outlawed.
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