President Biden asked to take action against EU Digital Markets Act

President Biden asked to take action against EU Digital Markets Act

Members of the U.S. House of Representatives reportedly asked President Biden to take action against the EU’s Digital Markets Act. In the eyes of the MPs, the European regulations would particularly disadvantage American tech companies.

In a letter to the Biden administration seen by Reuters, members of the House of Representatives argue that the Digital Markets Act mainly disadvantages American tech companies. This upsets the signatories, who demand that the EU apply the measures within the DMA fairly. That includes not only regulating U.S. tech companies as part of the so-called “gatekeepers“.

U.S. tech companies are at a disadvantage

They criticize the EU that the list of gatekeepers does not include, for example, the Chinese companies Alibaba, Huawei and Tencent. They also complain that European tech companies, such as retailers, content-sharing platforms, fintech companies and telecom operators, do not appear on the list.

In addition, in the eyes of U.S. MPs, the DMA threatens the market leadership that the U.S. has in IT. According to them, this could affect the economy within the U.S., the country’s lead in this field and the security of end users.

Action from the White House desired

Signatories are calling on the Biden administration to ensure reassurances from the EU that the DMA will not be used to unfairly target U.S. companies.

The US government has already reminded the EU during the development of the DMA that US technology should not be over-regulated. It was argued that if the DMA legislation focused mainly on U.S. companies, it could affect U.S.-EU cooperation.

Also read: Google parent, Amazon, Apple, Meta and Microsoft pointed out as ‘gatekeepers’