A US judge has ruled that Google must make significant changes to its Play Store, allowing Android users to access third-party app stores and payment methods for three years. The ruling comes after a jury sided with ‘Fortnite’ creator Epic Games, which accused Google of monopolising app access and in-app payments on Android devices.
The order, issued by Judge James Donato, prevents Google from blocking alternative payment options or pre-installing its app store through deals with device makers. The decision is set to take effect on 1 November 2024, giving Google time to comply. However, Google plans to appeal the ruling, arguing that it could harm consumers, developers, and device makers.
Epic Games CEO Tim Sweeney called the decision “big news” and said it could lead to a more competitive Android ecosystem by 2025. Meanwhile, Google is also facing antitrust cases over its dominance in web search and ad technology.
Coinbase announced on Friday that it will delist certain stablecoins in the European Economic Area (EEA) by the end of the year as the cryptocurrency industry prepares for stricter regulations in the region. The EU‘s new Markets in Crypto-Assets (MiCA) regulation, introduced in early 2023, will be fully implemented by December. This framework mandates that stablecoin issuers adhere to stringent transparency, liquidity, and consumer protection standards.
In line with its commitment to compliance, Coinbase intends to restrict services for EEA users concerning stablecoins that do not comply with MiCA requirements by 30 December 2024. The exchange will provide affected customers with options to switch to authorised stablecoins, including USDC and EURC from fintech firm Circle, which are pegged to the US dollar and euro, respectively.
Stablecoins have gained significant popularity in recent years, particularly as major financial institutions like PayPal adopt them. This growth reflects the increasing integration of the once-nascent digital assets sector into mainstream finance.
The European Commission’s Digital Fairness Fitness Check underscores the urgent need to reform the EU consumer protection laws due to emerging digital challenges. While current regulations remain significant, they must evolve to tackle issues such as manipulative online designs, known as ‘dark patterns,’ and exploiting consumer vulnerabilities through targeted advertisements.
This comprehensive evaluation reviewed three critical EU directives – the Unfair Commercial Practices Directive, the Consumer Rights Directive, and the Unfair Contract Terms Directive. Despite their continued importance, these laws need to address recent digital trends that manipulate consumer behaviour. Notable concerns include addictive designs in video games with gambling-like features and targeted ads exploiting financial and mental health vulnerabilities. Also, social media influencers sometimes engage in deceptive practices, further complicating the digital landscape.
The report reveals that these harmful practices cost EU consumers an estimated €7.9 billion annually, while the cost for businesses to comply with existing EU laws stands at €737 million annually. The disparity is exacerbated by fragmented national legislation, weakening consumer protection across the EU. To address these challenges, the Commission aims to refine regulations related to dark patterns and enhance enforcement strategies, fostering a fairer digital environment for consumers.
Why does it matter?
The Fitness Check does not provide specific recommendations. Still, it lays the groundwork for the Commission’s upcoming agenda to adopt consumer protection measures, ensuring they reflect the nature of the digital market and effectively safeguard consumer interests.
Japan’s Fair Trade Commission has launched an investigation into the rapidly expanding generative AI market. Concerns have been raised about the dominance of US tech companies, particularly in semiconductors and the specialist workforce needed for AI development.
The commission has invited businesses and users to provide input on antitrust risks, with a first report expected next spring. The study aims to identify challenges for new companies entering the AI market, which often depends on advanced semiconductors and vast data resources.
Nvidia’s dominance in the semiconductor market, controlling 80% of chips used for AI, is highlighted as a potential barrier to competition. The commission also noted risks related to monopolisation of specialists by large IT companies and prioritising their own AI products.
Other nations, including the US, European Union, and South Korea, are conducting similar investigations. Study in Japan intends to balance AI’s benefits with ensuring fair market access and competition.
An Australian court has upheld a ruling requiring Elon Musk’s X, previously known as Twitter, to pay a $418,000 fine. The fine was issued for failing to cooperate with a request from the eSafety Commissioner regarding anti-child-abuse measures on the platform.
X had contested the penalty, arguing that it was no longer bound by regulatory obligations following a corporate restructure under Musk’s ownership. However, the court ruled that the platform was still required to respond to the request made by the Australian internet safety regulator.
The eSafety Commissioner stated that accepting X’s argument could have set a worrying precedent for foreign companies merging to avoid regulatory responsibilities. Civil proceedings against X have also begun due to its noncompliance.
Musk’s platform has clashed with authorities in Australia before, notably in a case where X refused to remove content showing a stabbing incident. The company claimed that one country should not dictate global online content.
Texas Attorney General Ken Paxton has filed a lawsuit against TikTok, accusing the platform of violating children’s privacy laws. The lawsuit alleges that TikTok shared personal information of minors without parental consent, in breach of Texas’s Securing Children Online through Parental Empowerment Act (SCOPE Act).
The legal action seeks an injunction and civil penalties, with fines up to $10,000 per violation. Paxton claims TikTok failed to provide adequate privacy tools for children and allowed data to be shared from accounts set to private. Targeted advertising to children was also a concern raised in the lawsuit.
TikTok’s parent company, ByteDance, is being held responsible for allegedly prioritising profits over child safety. Paxton stressed the importance of holding large tech companies accountable for their role in protecting minors online.
The case was filed in Galveston County court, with TikTok yet to comment on the matter. The lawsuit represents a broader concern about the protection of children’s online privacy in the digital age.
Several rival web browsers, including Vivaldi, Waterfox, and Wavebox, along with a web development advocacy group, have called on the European Commission to impose stricter antitrust regulations on Microsoft’s Edge browser. In a letter dated 17 September, the group argued that Edge, pre-installed on all Windows devices, is given an unfair distribution advantage, limiting competition. This follows a recent lawsuit by Opera, a Norwegian browser company, which challenged the Commission’s decision to exempt Edge from the Digital Markets Act (DMA).
DMA aims to stop dominant online platforms from restricting consumer choices by setting guidelines for ‘gatekeeper’ services. Rival browsers argue that Microsoft’s practice of making Edge the default browser on Windows undermines the spirit of the law. They contend that Edge’s pre-installed presence gives it an unfair advantage, making it harder for independent browsers to compete, especially as many users rely on Edge to download alternatives.
Neither Microsoft nor the European Commission has commented on the issue, but critics have pointed out that Edge’s pop-up messages often misrepresent the features of rival browsers. Despite these allegations, Microsoft Edge holds only a small portion of the global browser market, with just over 5%, while Google Chrome dominates with 66%.
Croatian startup AEOS, formerly known as AdScanner, has secured €10 million in a Series B investment round led by Taiwania Capital, with additional backing from existing investors. This funding follows significant revenue growth and product innovations that aim to redefine how advertisers reach audiences across both traditional television and streaming platforms.
Founded in 2012, AEOS has become a key player in the European TV advertising market, using data-driven technology to enhance campaign planning and audience measurement. Operating in Croatia, Germany, Austria, Bulgaria, and Serbia, the company plans to use the new investment to accelerate growth and develop its product offerings, particularly in the AI space.
The funding will support the development of AI-driven tools that help advertisers optimise their campaigns across platforms. AEOS has already gained recognition for its Cockpit solution, offering near real-time analytics and bridging the gap between traditional broadcast media and digital streaming services.
In 2024, AEOS will launch its second-generation AI-based planning tool, designed to unify TV and streaming campaigns into one seamless ecosystem. The tool allows advertisers to plan, measure, and optimise their campaigns across multiple devices with greater accuracy than ever before.
The United Kingdom‘s Competition and Markets Authority (CMA) has confirmed that Amazon’s $4 billion partnership with AI startup Anthropic will not be subject to a more in-depth investigation. The regulator determined that the deal did not raise competition concerns under Britain’s merger regulations.
Amazon expressed support for the CMA’s decision, noting that it acknowledged the regulator’s lack of jurisdiction over the collaboration. The CMA also cleared a similar partnership between Microsoft and Inflection AI, while a deal between Alphabet and Anthropic remains under review.
Anthropic, which was co-founded by siblings Dario and Daniela Amodei, former OpenAI executives, reiterated that its partnerships with major tech firms do not compromise its independence or governance. The startup has received billions in investments from several large companies.
Amid growing antitrust scrutiny of deals between startups and big tech firms, regulators are closely monitoring collaborations like those involving Anthropic and its partners.
A United States federal judge has dismissed a Department of Justice lawsuit accusing eBay of violating environmental laws by allowing the sale of harmful products on its platform. The ruling cited Section 230 of the Communications Decency Act, which shields online platforms from liability over user content.
The judge concluded that eBay’s administrative support for sellers did not make it liable for the unlawfulness of the products sold. She also ruled that eBay was not a ‘seller’ as it did not physically possess or hold title to the items in question.
The lawsuit accused eBay of enabling the sale of thousands of devices designed to evade vehicle emissions controls, unregistered pesticides, and products containing harmful chemicals. The government argued that this conduct violated several environmental laws, including the Clean Air Act.
eBay responded by stating its dedication to maintaining a trusted marketplace and promised to continue investing in measures to prevent the sale of prohibited items. The Justice Department declined to comment on the ruling.
