European Commission Rules Out Supervisory Fee for Big Tech Compliance Costs
European Commission Rules Out Supervisory Fee for Big Tech Compliance Costs

European Commission Rules Out Supervisory Fee for Big Tech Compliance Costs

News summary

The European Commission has announced it will not impose a supervisory fee on major technology companies including Alphabet, Amazon, Apple, ByteDance, Meta Platforms, and Microsoft to cover the costs of monitoring their compliance with the Digital Markets Act (DMA). Despite lobbying from Germany and members of the European Parliament to levy such fees to support enforcement efforts, the EU tech chief, Executive Vice-President Henna Virkkunen, stated there are currently no plans to charge these companies, although the rules remain under review. The DMA, enforced since 2023, aims to limit the market power of these Big Tech firms and enhance consumer choice. Proponents of a supervisory fee argue it should mirror the Digital Services Tax's levy, which charges big platforms 0.05% of their annual worldwide net income to help police content under a separate regulation. Some companies, like Meta and TikTok, have legally challenged fees imposed under the Digital Services Act, highlighting disputes over fee calculation methods. The European Commission continues to monitor the situation but has emphasized its commitment to enforcing digital laws without currently passing monitoring costs onto the companies themselves.

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