Microsoft Corp's Bing search engine, Edge web browser and advertising service will be exempted from tough new European Union antitrust rules for big tech platforms, after the watchdog initially determined that their market position was not strong enough to be hit by the regulations.
European Commission officials are leaning toward granting an extension to the U.S. software giant as part of a five-month market investigation that ends in February, according to people familiar with the matter who asked not to be named. According to Bloomberg, EU officials have also decided not to include Apple’s iMessage service in the new Digital Markets Act (Digital Markets Act) that took effect in March.
The EU's DMA bill strikes at the heart of the business models of six of the world's most powerful technology companies, seen as digital "gatekeepers." While some of Microsoft and Apple's services will now be exempt, they - like Meta Platforms Inc. - will still face a new set of obligations designed to prevent them from abusing their dominant positions in other areas of their business.
For Microsoft, this includes its Windows PC operating system and LinkedIn social media platform. Apple includes the iOS mobile operating system, AppStore and Safari browser.
Under the Act, it would be illegal for a designated company to favor its own services over those of its competitors. They will be prohibited from combining personal data across different services, banned from using data collected from third-party merchants to compete with them, and must allow users to download apps from rival platforms.
The Brussels-based European Commission and Microsoft declined to comment on the EU exceptions. Apple, Meta and ByteDance have all filed lawsuits in court against the EU designating them or some of their services as services under the DMA.