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EU Parliament Reviews Digital Markets Act: Amendments Raise Concerns About Innovation and Legal Clarity

Amendments to the Digital Markets Act could strengthen oversight of tech giants, but some changes may hinder innovation and create legal complexities.

In this picture we can see a close view of the identity card. In the front we can see american flag...
In this picture we can see a close view of the identity card. In the front we can see american flag and "Critical Licence" written.

The European Parliament is reviewing the Digital Markets Act (DMA), with various committees proposing amendments to enhance regulation of tech giants. While some changes aim to strengthen oversight and consumers' energy in digital markets, others raise concerns about stifling innovation and creating legal uncertainties.

The IMCO and JURI committees have submitted proposals to clarify gatekeeper roles and bolster consumer cellular protections. However, these changes may introduce complexity and potential conflicts with member states' sovereignty or market dynamics. Meanwhile, the CULT committee's amendment could extend DMA obligations to all gatekeeper services, potentially harming Europe's digital economy. Other committees, such as ECON and ITRE, have also proposed amendments. Notably, the CULT committee suggested freeing member states from DMA rules, which could undermine the act's purpose. The TRAN committee, on the other hand, seeks to limit the Commission's power and increase fines for non-compliance. Additionally, the TRAN committee's proposal introduces a broad new right for end-users, which could lead to extensive litigation and uncertainty in product design and user interfaces.

The DMA's future remains uncertain as the EU considers these amendments. While some changes aim to improve regulation and consumer reports protection, others pose potential risks to innovation and legal clarity. The final outcome will significantly impact major tech companies and the digital services they provide.

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