Europe agrees new law to curb Big Tech dominance

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European lawmakers hope the new rules will curb the dominance of Big Tech companies.

Under the Digital Markets Act, giants such as Apple will have to open up their services to other businesses.

Technology firms have been accused of using their market dominance to squeeze out competition.

EU antitrust chief Margrethe Vestager said that they want fair markets in digital.

She said that large platforms have prevented businesses and consumers from benefiting from competitive digital markets.

The EU has yet to act against anti-trust or anti-competitive behavior from mainly US technology businesses.

The agreement will lead to a new era of tech regulation worldwide, according to the German MEP who led the negotiations for the European Parliament.

The Digital Markets Act would force Apple to open up its App Store to third-party payment options instead of forcing users to use its own payment system.

It is something Apple has been fighting in the US during a high-profile court battle.

The company will be asked to give people alternatives to its search engine, Maps app and browser if they use a phone that runs on the company's operating system.

Users would be able to uninstall company-imposed apps that they can't currently uninstall, in order to loosen Apple's grip on the iPhone.

The law targets services belonging to large tech firms.

The EU wants users to have more control over how they communicate. The new rules would require technology to be compatible with smaller competitors.

Apple is concerned that some provisions of the DMA will create unnecessary privacy and security vulnerabilities for our users.

While we support many of the DMA's ambitions around consumer choice and interoperability, we're worried that some of these rules could reduce innovation and the choice available to Europeans.

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The law only applies to companies with a value of more than 75 billion dollars, annual sales of at least 7.5 billion and at least 45 million monthly users.

Legislation was originally proposed by Ms Vestager in response to what she felt was monopolistic behavior from Big Tech. She was frustrated by how large US tech companies were able to delay and even prevent EU attempts to fine them.

The gatekeepers now have to take responsibility.

The law will give the EU authority in regulating tech companies.

Many major US tech companies have huge lobbying operations in Washington, and have been saying that the laws punish successful American companies.

Many politicians in the US want to clip the wings of Big Tech, with bills currently going through Congress that would rein in their power.

With the deal reached by negotiators, the DMA now faces final votes in the European Parliament as well as by ministers from the EU.