Watchdog highlights shortcomings in EU rules to curb U.S. tech companies

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Regulatory Scrutiny Board, which reviews policies and legislation proposed by the European Commission, has given a green light to the draft rules

This translation has been automatically generated and has not been verified for accuracy.A watchdog has criticised the EU’s new rules that aim to curb the power of Alphabet unit Google, Facebook, Apple and Amazon, potentially providing scope for companies that are targeted to challenge them.

The European Commission’s draft rules, announced last week, are its most serious attempt yet to rein in tech companies, relied on by thousands of companies and millions of Europeans. The rules include potential fines up to 10% of annual turnover and break-up.“The report should better justify the identification and selection of the core platform services.

EU officials said stringent criteria, including turnover, revenue, number of users and control of key platform services are likely to produce for now a very short list of gatekeepers, which may expand to Chinese rivals in future. “Some of these appeals might well succeed and some will likely fail. And they will in any event delay effective compliance with the rules,” he said.

 

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