EU's big action, Apple fined Rs 4,700 crore, Meta fined Rs 1,900 crore, US said - this is blackmailing.

Tension is once again being seen between the European Union (EU) and the US. This time the reason is the heavy fine imposed on two big American tech companies, Apple and Facebook's parent company Meta.

In fact, on Wednesday, April 23, the European Union has imposed a fine of 500 million euros (about Rs 4,700 crore) on Apple and 200 million euros (about Rs 1,900 crore) on Meta. This action has been taken under the EU's new digital law Digital Markets Act (DMA).

What is DMA

The purpose of the Digital Market Act is that big tech companies, which have monopolies in their field, should give equal opportunity to small and new competitors. The EU believes that Apple and Meta have violated many rules of this law, such as limiting market competition, not giving full freedom to small app developers on the platform, and lack of transparency.

But this action has infuriated America. The White House has clearly said that these fines are a kind of 'economic extortion' and America will not tolerate it at all.

America made many allegations.

On this whole matter, the US government alleges that this law of Europe is specifically targeting American companies, so this move is not only causing losses to American companies but it can also pose a threat to global trade.

A White House spokesperson said, 'This is a new way to suppress American tech companies. This law creates obstacles in trade and is against a free society.'

Tensions are rising at the international level

This whole matter has raised tensions at the international level. Former US President Donald Trump has already said that if foreign countries harm American companies or even try to do so, then the US can also increase tariffs i.e. import duties in response.

On the other hand, the European Union says that its aim is not to target any country or company, but they want to create a fair and open digital market.

Now it remains to be seen whether the US will take any strict action in response to these fines or whether this matter will be resolved through talks. For now, certainly, such a big action against big names like Apple and Meta has created a stir in the tech world. This dispute can also affect the trade relations between the EU and the US in the coming times.