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Digital Platforms and Markets Updates: the latest news from the European Commission | #6

Digital Platforms and Markets: a review of the latest updates from the European Commission.

Digital Service Act: the European Commission requests information from Amazon (5 July 2024)

The Commission has asked Amazon to provide detailed information on compliance with several provisions of the DSA, such as those regarding the transparency of the advertising systems used on its platforms, the maintenance of an ad archive and the related risk assessment report. Amazon will also have to provide more information on the design, development, implementation, testing and maintenance of the online interface of the Amazon Store, as well as on the risk assessment documents it has had to draw up.

The information will have to be provided by 26 July 2024 to allow the Commission to assess whether to initiate a formal proceeding.

Digital Decade: the European Commission’s second report highlights the need for collective action to promote the EU’s digital transformation (2 July 2024)

The Commission has published its second state of the Digital Decade report, prividing a comprehensive overview of progress towards the digital objectives and targets set for 2030 by the Strategic Program for the Digital Decade.

This year, for the first time, the report is accompanied by an analysis of the national strategic roadmaps for the Digital Decade submitted by the Member States, detailing the national measures, actions and contributions planned to support the EU’s digital transformation. Currently, the analysis for Italy is missing.

The report urges Member States to be more ambitious, as achieving the digital decade targets on digital infrastructure, businesses, skills and public services is crucial for the EU’s future economic prosperity and social cohesion.

The Commission has also updated cross-cutting recommendations addressed to each EU Member State to fill the identified gaps.

Digital Market Act: the European Commission sends preliminary conclusions to Meta on ‘Pay or Consent’ model (1 July 2024)

In November 2023, Meta introduced a ‘Pay or Consent’ model on its platforms under which European users of Facebook and Instagram must choose between subscribing to a paid, ad-free version or accessing a free version of the platforms that includes personalized advertisements.

The Commission has indicated, on a preliminary basis, that Meta’s model is not compliant with the DMA because it:

  • does not allow users to opt for a service that uses a smaller amount of their personal data while remaining equivalent to the one that includes personalised advertisements;
  • does not allow users to exercise their right to freely give consent to the processing of their personal data.

Meta can now respond in writing to the Commission’s preliminary findings, which will conclude its investigation by March 2025.

If an infringement is confirmed, the Commission can impose a fine of up to 10% of the gatekeeper‘s total worldwide turnover or, in case of repeated infringement, up to 20%.

Press releases from the European Commission and related official documents can be consulted at this address.

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