Big Tech Gets Support From Washington, in Europe

The nation’s Big Tech firms have a powerful ally to protect their dominance in Europe: the Biden Administration.

The White House has intervened to ease the impact of proposed European Union (EU) regulations that target the nation’s largest tech companies, according to the Financial Times.

The news outlet reported the Biden administration has lobbied Andreas Schwab, a member of the European Parliament (EP) representing Germany, a proponent of the Digital Markets Act (DMA). The measure would prevent companies including Amazon, Apple, Google, Meta Platforms Inc. (formerly Facebook) and Microsoft from ranking their services above rivals.

In a letter signed by an advisor to U.S. Department of Commerce Secretary Gina Raimondo and seen by the FT, it expressed concerns surrounding the implementation period for this complex regulation. The correspondence also called for any new rules to be expanded to include companies from all nations, not just the U.S.

“We ask that the EU use scoping criteria that do not discriminate against US firms in law or in fact, including by ensuring that meaningful European and foreign competitors of covered US firms be brought within the ambit of the DMA,” the letter says, according to the report.

The goal of the proposed legislation is to boost the European economy and protect the fundamental rights of consumers and investors, the EU has said.

Read also: Google, Big Tech Firms Face New EU Regulations This Year

Advocates say the regulations were written to establish a level playing field for merchants.

The behind-the-scenes campaign comes as lawmakers push for tougher tech regs on Capitol Hill, a sign there’s division among the Democratic-controlled Congress over the controversial issue.

In December, Congress called on Biden to strengthen Big Tech rules.

See: Congress Wants Biden to Get in the Game and Play Bigger Role in Regulating Big Tech  

A bipartisan group of lawmakers is crafting measures to regulate the companies’ data-collection policies, accountability for social media posts, privacy, children’s safety, and the market dominance of a few players.