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EU Must Hold Firm Against US Pressure, Says Former Competition Chief

The former European Commissioner for Competition, Margarethe Vestager, stated on Wednesday that the EU must remain firm in the face of U.S. pressure to avoid implementing EU regulations.

Vestager, who served as the EU's Competition Commissioner for a decade until 2024, stated that the EU's executive branch must uphold its commitment to Europeans "that our markets will remain secure" against unjust practices.

"There is pressure, that's understandable, but this isn't about American companies, it's about the abuse of market power, regardless of where the headquarters are," Vestager stated during a speech in Brussels at an event hosted by the U.S. think tank Open Markets Institute and the human rights organization Article 19 on Wednesday.

"Most Americans agree: they are also wary of what Big Tech companies provide, and they recognize the influence it has on society, particularly regarding social media usage among children and its effect on democracy. That's why you should uphold the commitments you make," she added.

EU technology regulations have faced increased scrutiny since the new U.S. administration, headed by President Donald Trump, began its term in January, with claims that the rules concerning AI, online services, and data protection are overly restrictive and hinder progress.

Washington in August instructedUS diplomats are planning a lobbying initiative against the bloc's digital regulations. A memo signed by US Secretary of State Marco Rubio claimed that the EU is implementing "unfair" limitations on free expression as part of its efforts to address hate speech and false information.

The memo also cautioned about the Digital Services Act (DSA) – regulations for online platforms that became effective in late 2023, designed to limit illegal content and goods on the internet.

A representative from the Commission stated to Euronews at that time, "Our EU rules and standards were never up for debate, and this will remain the case."

The European Union's executive branch has launched several investigations into companies—some based in the United States—for potential violations of the DSA, the Digital Markets Act, and online competition regulations that came into force in 2023.

Unworkable rules

Big tech firms are also dissatisfied, as evidenced by recent cases like the EU'srules on political ads show.

According to the new regulations that became effective this month, political advertisements are required to have a transparency label that explicitly states their origin and provides essential details, including the sponsor, the specific election they relate to, and the costs involved.

Meta previously announced that they would cease political advertising because of "significant operational challenges and legal uncertainties" and "unworkable requirements."

The American social media firm stated that it has had mechanisms in place since 2018 to ensure transparency for political and election-related advertisements. It argued that the new requirements result in an "unacceptable level of complexity and legal ambiguity for advertisers and platforms functioning within the EU."

Another major US technology company, Google, released a comparable statement towards the end of last year. It mentioned that the new legislation creates "legal uncertainties for political advertisers and platforms."

EU legislators urged the European Commission, specifically Tech Commissioner Henna Virkkunen, during the summer to provide a clear response to Trump's warnings of imposing tariffs on nations whose technology regulations negatively impact American businesses.

Some European Union legislators told Euronews they are dissatisfied with the absence of a reaction after Trump'sremarks, after he cautioned, "Respect America and our remarkable technology firms or be prepared for the outcomes."

A Commission spokesperson defendedVirkkunen at that time, stating that "she will defend herself against all baseless accusations, she has done so, and she will keep doing it."

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