The Brief – Who dares wield the DMA?

The disciplinary action was in the pipeline for over a year, as both companies were found guilty of practices that fall foul of the DMA. For Apple, its App Store was deemed unfair for directing users towards its own marketplace rather than competitors. Meta meanwhile was pulled up for its advertising model, which bombards users with personalised ads if they don't pay to opt out.

Designed as a powerful piece of legislation to make the online space fairer, the DMA is a strong tool for regulators to keep Big Tech in check. But this week it seemed an implement more fearsome to those wielding it than those it is used against.

If the Commission is serious about getting tough on the titans of the online space it wasn't a ruling that individuals were eager to associate themselves with. Neither Competition Commissioner Teresa Ribera nor Tech Commissioner Henna Virkkunen showed up to announce it.

As the fines were unveiled, Ribera – who described the DMA as a "crucial instrument" to "ensure digital players can operate in contestable and fair markets" – was away on a week-long trip to Mexico. Virkkunen had chosen to spend the day in a small town in Germany, visiting a supercomputing factory.

Their absence only fuelled suspicions that the Commission was delaying the fines due to the fear of retaliatory tech tariffs from Trump, rumours that Ribera had previously dismissed with assurances that the EU would not be cowed by the US on big tech.

But not only was there a distinct lack of top brass to defend the fines, the amounts demanded of the trillion-dollar companies was relatively minimal: €500 million for Apple and €200 million for Meta. In both cases this is far below the ten percent of global turnover that the DMA permits.

To illustrate the insignificance of the penalties, a Proton study found that Meta would take 36 hours and 45 minutes to pay its fine; Apple would pay it back in 45 hours and 58 minutes.

All of which raises questions about the DMA's efficacy as a regulatory tool. Will companies be compelled to comply with EU legislation or decide the DMA is little more than a token punishment that authorities are reluctant to invoke?

Other US companies – notably Google and X – also stand to come up against the EU digital rule book. Need they worry?

Laws are only as strong as the powers that enforce them. And this week the Commission seemed more David than Goliath, weakly waving its new slingshot rather than launching the formidable projectile.

Roundup

Defence – The EU's snappily titled European Defence Industry Programme (EDIP) passed a crunch European Parliament vote today. 

Economy – Donald Trump’s tariffs have thrown a giant wrench into the global economy, but his attempts to influence US monetary policy risk triggering a full-blown financial meltdown.

Agrifood – After failing to convince Europeans to swap steaks for cricket pasta, insect producers have turned to the animal feed market as their next big hope.

Across Europe 

Slovakia – Prime Minister Robert Fico has ordered a halt to COVID-19 vaccine deliveries until the Academy of Sciences evaluates the findings of a controversial anti-mRNA report.

Germany – Berlin has cut its economic forecast from 0.3% of growth to zero for 2025, predicting a year of stagnation after a two-year recession.

Sweden – Criminal networks in Sweden are using a national free choice system to plant younger students in specific schools and tighten their grip on districts notorious for drug use, SVT revealed in an investigative programme.

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