EU's Digital Future Hangs in Balance as Committees Propose DMA Amendments
The European Union is at a crucial juncture in molding its digital destiny with the Digital Markets Act (DMA). Several committees, including the Transport (TRAN) and Culture (CULT) Committees, have proposed amendments that could substantially alter the DMA's trajectory.
The DMA aspires to make the EU 'fit for the digital age' by regulating the conduct of large online platforms. However, some proposed amendments could impede this objective. Amendment 18 from CULT permits Member States to impose conflicting rules, potentially undermining the DMA's intent. Meanwhile, Amendment 148 from the same committee could expand DMA obligations, potentially stifling future innovations.
The TRAN Committee has also introduced changes. Amendment 20 seeks to curtail the Commission's power to impose new industry-wide 'fairness' obligations. Furthermore, Amendment 151 introduces a broad new right for end users, which could lead to extensive litigation and uncertainty. Additionally, the committee proposed increasing fines for non-compliance, with Amendments 168 and 169 doubling the penalty to 20%.
These amendments come as the EU is determining the DMA's direction. The DMA could significantly transform how Europeans interact with services from tech giants like Google, Amazon, Apple, and Facebook. The CULT Committee has also proposed adjustments to introduce mechanisms and safeguards for other public policy considerations.
As the EU navigates these proposed amendments, the future of the Digital Markets Act hangs in the balance. The outcome will shape how the EU regulates its digital markets and protects public interests, including consumer rights and fair competition.
