Big Tech to Avoid Strict Obligations in EU Digital Rules Overhaul, Sources Say
Major U.S. technology companies including Alphabet, Meta Platforms, Netflix, Microsoft and Amazon are set to avoid strict new regulatory obligations under the European Union’s upcoming overhaul of digital rules, according to people with direct knowledge of the matter.
Despite strong lobbying from telecoms companies for tougher measures targeting Big Tech, the companies will instead fall under a voluntary framework as part of the planned Digital Networks Act (DNA), the sources said. The European Commission has declined to comment.
The DNA, which will be presented by EU tech chief Henna Virkkunen on January 20, is aimed at boosting Europe’s competitiveness and encouraging greater investment in telecoms infrastructure. The proposal will still need approval from EU member states and the European Parliament before it can become law.
Under the draft rules, Big Tech firms will be encouraged to cooperate voluntarily with telecoms operators in discussions moderated by BEREC, rather than being subject to binding obligations similar to those imposed on telecoms providers. One source described the approach as a “best practices regime” with no new mandatory requirements.
The planned overhaul will also address spectrum policy, with the Commission setting out guidance on licence duration, sale conditions and pricing methodologies to be used by national regulators during spectrum auctions, which often generate billions of euros for governments. While the goal is to harmonise spectrum allocation across the EU and reduce regulatory burdens for telecoms firms, some national regulators are expected to resist what they may see as increased centralisation of power.
In addition, the Commission plans to issue guidance on the rollout of fibre infrastructure, a key element of the EU’s digital strategy to narrow the gap with the United States and China. Governments may also be allowed to extend the 2030 deadline for replacing copper networks with fibre if they can demonstrate they are not ready to meet the target.
The EU’s digital policy push has drawn criticism from Washington in recent years, with U.S. officials arguing that new rules unfairly target American companies. Brussels has repeatedly rejected those claims.