US tech firms fined of 6-10% after the EU imposes new rules to curb their dominance

US companies will need to change the way they operate in Europe or they will face massive fines of 6-10% under the new draft EU-imposed rules to be announced on Tuesday, among the companies covered: AmazonAppleFacebookAlphabet.

The rules represent the most serious attempt by the 27-nation European Union to rein in the power of US tech giants that control the vast troves of data and internet platforms that millions of Europeans rely on, reflecting the European Commission’s concern about antitrust cases it has brought against the tech giants. , especially Google, whose case has not yet been resolved.

Regulatory scrutiny continues to increase on the technology giants and their growing power around the world, and the European plan represents an attempt, not only to rein in companies, but to prevent the emergence of dominant companies that eliminate the concept of competition.

One set of rules is called the Digital Markets Act, which imposes a fine of up to 10% of the annual revenue of digital companies responsible for data when they violate the new rules.

And the other set of rules is called the Digital Services Act, which targets very large electronic companies, such as platforms that have more than 45 million users, as they must make greater efforts to pursue illegal content on their platforms or abuse their platforms with the aim of violating rights. Companies must also show details of political ads on their platforms and the criteria used to suggest and evaluate information based on the algorithms with which those platforms operate.

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