The EU’s DMA Enforcement Against Meta Reveals a Dangerous Regulatory Philosophy
The European Commission’s just-published decision against Meta reveals a fundamental tension in EU digital regulation. In it, the Commission explicitly states it will pay no attention to the economic consequences of DMA enforcement on gatekeepers. This admission has profound implications not just for Meta, but also for other designated gatekeepers.
It is a sign of a fundamental flaw in the Commission’s approach—the failure to seriously and credibly consider the effects of their actions. In effect, the Commission appears not to care if it destroys more market contestability than it purports to create. In a striking example, the Commission even disregards the potential impact of its strategy on smaller EU businesses that rely on targeted digital advertising to compete with larger competitors.