Europe’s start-up industry is afraid that the EU is softening its digital law to avert a trade war with the United States. In a letter to the EU Commission, digital associations warn of compromises at the Digital Markets Act (DMA), with which Brussels regulated tech companies and recently imposed high punishments against Apple and the Facebook group Meta. According to the media, the EU wants to accommodate the USA.
Reports are followed with great concern that the US trade officer has proposed to temporarily suspend the DMA’s enforcement of the DMA for American digital companies in a bilateral dialogue with the EU, according to the letter to Commission President Ursula von der Leyen. It is available to the German Press Agency.
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“The DMA is not a geopolitical maneuver and must not become one,” write the signatories, including the European Startup Network, the German Startup Association and France Digital. “Do not allow the enforcement of the DMA to be weakened or delayed.”
The CEO of the startup association, Verena Pauster, warns of a “cow trade”. “That would completely counter the EU’s efforts to digital sovereignty in Europe.”
According to a report by the “Handelsblatt” from negotiation circles, the Commission has agreed to give the USA a say in the application of the DMA to US companies. The law should not be deleted or changed, but Brussels are flexible in the practical implementation, it is said.
High punishments against Apple and Co torment USA
The mighty digital law, which has been in force since March 2024, strengthens the rights of consumers and smaller companies compared to tech companies such as Apple or Google. The basic assumption is that large platform operators are so powerful that they could cement their market position. The DMA is said to break this up with rules for gatekeepers (goalkeeper), including the Commission Apple, Amazon, Microsoft, Alphabet and Meta.
The EU Commission only used the Digital Act in April and imposed three-digit million penalty against Apple and Meta. The approach of Europeans repeatedly causes anger in the USA and harbors explosive power in the customs dispute that the EU wants to enclose until the beginning of July. The chairman of the US Federal Trade Commission, Andrew Ferguson, had recently criticized the DMA as a form of taxing US companies.
Time for negotiations in the customs dispute
Most recently, the “Wall Street Journal” had already reported that the EU and the United States approached an agreement on non-tariff trade issues, including the treatment of US tech corporations. The design is almost final.
According to the “Handelsblatt”, the EU Commission will in future advise on the application of the DMA to US companies in a committee with the United States. The Commission is not ready to change EU legislation as part of trade negotiations, a spokeswoman for the newspaper said: “However, whenever, whenever, we are ready to discuss it with every partner country.”
The reports alert the digital associations: “If the EU wants to promote European technology champions, it must not at the same time undermine the central regulatory foundations for fair digital markets,” they warn in the letter. The DMA is an elementary instrument for growth companies in Europe to ensure fair competitive conditions.
Merz penetrates speed
In the customs dispute with the United States, the time is forced to Europe. US President Donald Trump has suspended high import duties for 90 days – this period expires on July 9th. Trump has already threatened EU imports with tariffs of 50 percent.
Minister of Economic Affairs Katherina Reiche (CDU) was recently optimistic about a short framework agreement with the United States. Chancellor Friedrich Merz demanded more pace in the negotiations and a quick decision for German key sectors such as car and mechanical engineering, chemistry and pharmaceutical.
