On April 23, 2025, the European Commission issued two separate fines under the EU’s Digital Markets Act (DMA): €500 million for Apple and €200 million for Meta, a combined €700 million. Apple’s case concerned limits on app developers steering customers to purchases outside the App Store. Meta’s concerned its original “consent or pay” advertising model and whether users had a meaningful, less data-intensive alternative.
What the €700 million in fines means
The European Commission—not a court—found that Apple and Meta had each failed to comply with a different DMA obligation. The fines were separate decisions, not a joint penalty. The Commission also required changes to the companies’ practices; the cases were not only about money.
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The DMA is an EU regulation that sets obligations for large digital platforms designated as “gatekeepers.” Its aim is to make digital markets fairer and more contestable. Apple’s decision focused on Article 5(4), the anti-steering rule. Meta’s focused on Article 5(2), which addresses combining and cross-using personal data and user choice. The Commission’s April 23, 2025 announcement describes the two findings.
Why Apple was fined €500 million
The anti-steering rule
Anti-steering means a platform cannot unduly stop businesses from telling customers about other ways to buy, or from directing them to those options. Under Article 5(4), app developers must be able to inform users about offers outside the App Store and direct them to alternative purchasing channels, such as a website.
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The Commission found that Apple’s technical and commercial restrictions limited developers’ ability to communicate and steer users to those alternatives. It ordered Apple to remove the restrictions and stop equivalent conduct. The relevant obligation concerns developers’ freedom to offer and explain alternatives—not a general ban on App Store commissions. The Commission’s account is in its decision announcement and the 2026 DMA review.
What developers and customers may notice
- Developers may have more scope to tell users about web subscriptions or other external purchasing options.
- Customers may encounter more choices and, in some cases, different prices. The ruling does not guarantee that an external option will be cheaper.
- A purchase outside an app may involve a different checkout, refund, cancellation or support process. Developers may need to manage those services themselves.
- External steering is not the same as installing an alternative app store, and using an external payment processor does not automatically eliminate every Apple-related fee or contractual condition.
The decision applies in the EU to conduct covered by the relevant designated services; it does not establish that every Apple product, transaction or app works the same way worldwide. Apple’s designated services include the App Store, iOS, Safari and iPadOS, according to the Commission’s Gatekeepers Portal.
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Why Meta was fined €200 million
The original “consent or pay” choice
Meta introduced its “consent or pay” model for EU Facebook and Instagram users in November 2023. In the original version, users were generally offered a choice between using the services with personalized advertising while allowing certain data combination and cross-use, or paying for an ad-free version.
The Commission found two problems under Article 5(2): users were not offered a sufficiently equivalent service that used less personal data, and the model did not enable sufficiently free consent to combining and cross-using their data for personalized advertising. The ruling was not simply a penalty for charging users. The Commission’s summary of the Meta decision sets out its reasoning.
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The DMA does not ban personalized advertising
Personalized ads remain permitted. The DMA requires gatekeepers to give users meaningful choice before certain personal data is combined or cross-used; it does not prohibit all targeted advertising or require advertising to disappear when a user declines broader data use. “Less personalized” also does not mean that no data is processed. The Commission explains the distinction in its DMA questions and answers for EU citizens.
What changed after the 2025 decision
On December 8, 2025, the Commission said Meta had committed to offer EU users a choice between sharing relevant data for fully personalized advertising and sharing less personal data for a more limited personalized advertising experience. Meta planned to introduce the options in January 2026. The Commission said it would assess implementation and impact, so the commitment should not be read as a permanent approval of every aspect of the model—or as cancellation of the original fine. See the Commission’s December 8, 2025 announcement.
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Are these competition fines, privacy fines or consumer-protection fines?
They were DMA non-compliance fines. Apple’s case principally concerned competition and commercial access around app distribution and purchasing. Meta’s concerned data use and user choice under the DMA, so it has privacy consequences, but it was not a GDPR fine. The Commission’s 2026 review distinguishes the DMA proceedings from other types of enforcement. The DMA is a competition regulation with consequences for privacy and consumer choice, not a general privacy law.
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The Commission’s 2026 review reports that Meta appealed its non-compliance decision. The official material cited here does not establish a final judicial resolution of that appeal. An appeal challenges the Commission’s decision; it does not mean the original finding was never made.
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The Commission’s May 2026 implementation report describes the Apple and Meta decisions as the two concluded DMA non-compliance proceedings that resulted in fines. The report does not establish here that either company has paid its fine, nor does it establish a final court outcome for Apple. See the Commission’s May 22, 2026 report announcement and its 2026 DMA review.
What the decisions could mean for users and businesses
For iPhone and iPad users
- Where developers use external links or payment options, you may be able to compare purchase routes rather than relying only on in-app checkout.
- Check who handles billing, renewals, cancellation and refunds before buying through an external site; the process may differ from an App Store purchase.
For app developers
- The central issue is the ability to tell customers about other purchasing options, not an automatic right to avoid all platform costs.
- External sales can bring more control over the customer relationship, but also require payment, tax, fraud, support and refund systems.
- Terms and implementation can evolve, so the decision should not be taken to mean every EU external transaction is fee-free.
For Facebook and Instagram users
- EU users may be offered a less-personalized advertising option alongside fully personalized ads.
- Choosing less personalization does not necessarily remove ads or stop all data processing.
For advertisers and publishers
- A less-personalized option may affect ad relevance and measurement, but its commercial effects depend on implementation and user choices.
- Meta’s later model was subject to Commission assessment; the commitment alone does not establish its eventual impact.
Why the first DMA fines matter
The €700 million total was a landmark because these were the first fines issued under the DMA. The amount is significant, but its scale alone does not show whether enforcement will change platform behavior. The more consequential test is whether required changes alter how developers reach customers and how users choose data use in practice. The DMA also provides for higher penalties in cases of repeated or serious non-compliance, making fines one enforcement tool among several; the Commission’s implementation report discusses its enforcement record.
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