On Tuesday, 22nd Feb European Commission disclosed legislation under Digital Market Act (DMA) which says that Tech giants (including Google, Meta/Facebook, Apple, Amazon and Microsoft) have to follow the EU rules for business expansion. Those who fail to follow the EU rules, would not be able to pursue fully in the technology space. The lawmakers have proposed strict rules for these U.S. companies to ensure online safety to their users.
So what is the proposed legislation by the EU? It says that online companies having massive data and access are held up by fines of up to 10% of global turnover if they’re unable to obey. Tech giants handle harmful stuff on their websites, imposed by 6% of global turnover for non-compliance. The restrictions are destined to govern tech firms’ customers' data and to prevent the business from ranking their services high on competitors' in search forums and app stores. The draft consists of Dos and Don’ts that must be ensured by tech giants. The legislation ensures code under which companies are obliged to provide a safe platform online and protect users’ privacy rights. The possible advantage of this act is that it covers cloud computing services and OS. Under, Digital Market Act, online firms wouldn’t be able to obtain unjust supremacy.
The obligations on Tech firms possibly cover all main illegal areas, for instance, at first, the firm has to mention EU lawmakers if they are rolling out a new service or to take over any company. The firms have no right to decide the order of search engines in their favor. They have no access to collect any data via the main service to roll out any new service, trying to compete with other firms. The firms have no authority to restrict any software. They will have to provide authority to the consumers to use another software, thus granting freedom of choice.
The big news is, Meta has agreed to the terms and appreciated this legislation as it will help in preserving one’s right to search whatever they want, hence creating a good notion about the internet among users worldwide. Furthermore, the European Commission has allowed the spokesperson of civil society to participate in this progress, so their rights would be preserved and reflected in the EU final decisions on tech firms.
H/T: Reuters
Read next: The Average Corporate Tax Rates in Every Country in the World
So what is the proposed legislation by the EU? It says that online companies having massive data and access are held up by fines of up to 10% of global turnover if they’re unable to obey. Tech giants handle harmful stuff on their websites, imposed by 6% of global turnover for non-compliance. The restrictions are destined to govern tech firms’ customers' data and to prevent the business from ranking their services high on competitors' in search forums and app stores. The draft consists of Dos and Don’ts that must be ensured by tech giants. The legislation ensures code under which companies are obliged to provide a safe platform online and protect users’ privacy rights. The possible advantage of this act is that it covers cloud computing services and OS. Under, Digital Market Act, online firms wouldn’t be able to obtain unjust supremacy.
The obligations on Tech firms possibly cover all main illegal areas, for instance, at first, the firm has to mention EU lawmakers if they are rolling out a new service or to take over any company. The firms have no right to decide the order of search engines in their favor. They have no access to collect any data via the main service to roll out any new service, trying to compete with other firms. The firms have no authority to restrict any software. They will have to provide authority to the consumers to use another software, thus granting freedom of choice.
The big news is, Meta has agreed to the terms and appreciated this legislation as it will help in preserving one’s right to search whatever they want, hence creating a good notion about the internet among users worldwide. Furthermore, the European Commission has allowed the spokesperson of civil society to participate in this progress, so their rights would be preserved and reflected in the EU final decisions on tech firms.
H/T: Reuters
Read next: The Average Corporate Tax Rates in Every Country in the World