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EU Parliament backs tough new rules to rein in U.S. tech giants -Breaking

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© Reuters. FILE PHOTO – The logos for Amazon, Apple and Facebook in combination photo/File Photos

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By Foo Yun Chee

BRUSSELS, (Reuters) – EU legislators voted Wednesday to strengthen draft rules that would rein in U.S. technology giants. This included expanding the reach of U.S. retailing operations and their users in other countries as part their joint position in future talks with EU members.

Margrethe Vestager (EU antitrust chief) unveiled the Digital Markets Act in December. This list includes dos and don’ts for U.S.-based tech companies designated as gatekeepers online. Fines can reach 10% of total global turnover, an unprecedented global first.

Vestager’s proposal targets Amazon, Apple (NASDAQ;), Alphabet(NASDAQ:), and Facebook unit Google (NASDAQ). However, the European Parliament would like to expand it to China’s travel website booking.com. Alibaba (NYSE:) Online retailer Zalando

EU legislators also desire the rules to be applied to web browsers, virtual assistances, and connected TV. This adds to Vestager’s online intermediation service, social networks and search engines.

Users would be able to change default settings of their products and services to make them more competitive with the proposal from lawmakers.

The Commission should produce an annual report about gatekeepers. Legislators could also be asked to investigate new services or products.

Vestager cheered on the victory.

She tweeted, “It sends out a clear signal that in our EU democracy, it’s not up to BigTech set the rules of play. It is up to legislators,”

Before the draft rules are made, lawmakers must now reconcile their proposals with those of the EU countries and Commission.

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