A PYMNTS Company

European Firms Urge Big Tech Collaboration on EU Digital Market Rules

 |  January 16, 2024

In a joint effort to emphasize the importance of collaboration and fair competition, Schibsted, Allegro, and more than 20 small European companies, alongside nine industry groups, have called on major tech corporations to involve them in the process of complying with the European Union’s (EU) Digital Markets Act (DMA). The plea comes ahead of the looming March 6 deadline for Big Tech companies to adhere to the new regulations.

The DMA, unveiled by the European Union in September of the previous year, designates 22 “gatekeeper” services, managed by six of the world’s largest tech entities—Alphabet, Amazon, Apple, Meta, Microsoft, and ByteDance (owner of TikTok). The act outlines a set of guidelines to foster increased competition and consumer choice within the digital landscape.

Among the requirements set forth by the DMA, gatekeepers are obligated to collaborate with competitors on their messaging apps and provide users the autonomy to choose which applications are pre-installed on their devices. The goal is to mitigate the dominance of major tech players and create a level playing field for smaller companies.

Related: US Tech Giants Accept European Union’s ‘Gatekeeper’ Classification

In a joint open letter, Schibsted, Allegro, and their counterparts expressed concern that the efforts made by the tech giants to comply with the DMA are currently falling short. The letter underscores the necessity for meaningful collaboration and consultation with smaller industry players to ensure effective implementation and a fair competitive environment.

The signatories of the letter include notable European companies such as Idealo from Germany, Qwant and Le Guide from France, Kelkoo, Proton, and Vipps MobilePay from the UK, among others. Nine industry groups, including News Media Europe, the Coalition for App Fairness, EU Tech Travel, and the European Publishers Council, have joined forces to amplify the call for inclusive compliance efforts.

This collective appeal echoes recent statements from European Commission officials, who have also stressed the importance of engaging with various stakeholders to ensure the successful implementation of the DMA. The plea from these European companies and industry groups seeks to promote a transparent and collaborative process that upholds the principles of fair competition and innovation in the digital market.

As the March deadline approaches, the tech industry awaits responses from the major players on their commitment to inclusivity and adherence to the new EU rules, as outlined in the Digital Markets Act.

Source: Reuters