EU Scrutinizes Meta and Google
The European Union is increasing its regulatory pressure on U.S. tech firms. The European Commission has notified Meta of possible interim measures over allegations it excludes third-party AI assistants from WhatsApp. Meanwhile, Google is reportedly preparing to test changes to its search results as it faces a potential EU fine.
- The regulatory actions against both companies fall under the European Union's Digital Markets Act (DMA), a legislative package aimed at preventing large online platforms, designated as "gatekeepers," from engaging in anti-competitive behavior. Non-compliance with the DMA can lead to substantial fines of up to 10% of a company's total worldwide annual turnover, and up to 20% for repeated infringements. - The European Commission's case against Meta centers on changes made to WhatsApp's terms in October 2025, which have effectively excluded third-party AI assistants from the platform since January 2026. The EU is considering imposing "interim measures," which are temporary orders to halt the contested behavior while the investigation is ongoing, to prevent significant harm to competition in the AI assistant market. - For Google, the investigation focuses on whether the company's search results unfairly favor its own services, a practice known as "self-preferencing." This is not the first time Google has faced such accusations; in September 2025, the company was fined nearly €3 billion for favoring its own digital advertising services. - Teresa Ribera, the Executive Vice-President of the European Commission for Competition, has been a prominent figure in the EU's efforts to regulate big tech and has made public statements regarding the investigation into Google's search practices. - This increased scrutiny of U.S. tech firms has led to tensions with the United States, with some officials in the U.S. describing the EU's regulatory actions as "discriminatory." - In a separate but related action under the DMA, the European Commission is also investigating Google's "site reputation abuse" policy, which some publishers claim unfairly demotes their content in search results. - Other major tech companies have also faced significant fines under new EU regulations. For example, in April 2025, Apple was fined €500 million for violating the DMA's anti-steering rules, and Meta received a €200 million fine related to its "consent-and-pay" model.
