The European Union recently made an important decision regarding the classification of certain Apple and Microsoft products under the new Digital Markets Act (DMA). Specifically, the EU Commission originally designated Apple iMessage and several Microsoft offerings as “gatekeepers” – only to later reverse this decision after deeper analysis.
Understanding Gatekeepers in the DMA
First, what constitutes a gatekeeper under the DMA? The regulations identify large digital platforms as gatekeepers if they:
- Have over 45 million monthly EU users
- Generate over €7.5 billion in annual EU revenue
- Operate a core platform service central to digital markets (such as messaging or search)
Gatekeepers face heightened obligations around interoperability, fines for violations, and additional rules intended to promote fairness and choice.
Initial Gatekeeper Designations
Early on, the EU Commission labeled the following Apple and Microsoft services as gatekeepers:
- Apple iMessage
- Microsoft Bing search engine
- Microsoft Edge web browser
- Microsoft Advertising
However, both Apple and Microsoft quickly appealed these classifications.
Thorough Re-Investigation Leads to Reversal
Upon further examination involving stakeholder input, the EU concluded that none of these services meet the full criteria to qualify as DMA gatekeepers after all.
While Apple and Microsoft maintain gatekeeper status in other areas like smartphone operating systems, Windows OS, App Store, etc, the EU ultimately reversed course regarding the above products.
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Implications of Non-Gatekeeper Status
By avoiding gatekeeper designation, services like Apple iMessage sidestep interoperability requirements and other obligations. However, Apple and Microsoft still face substantial DMA regulation around their core platform businesses.
This complex decision highlights the EU still interpreting how best to apply the sweeping new DMA rules to balance fairness and growth in dynamic digital markets.