New legal rights for Britain to fight Big Tech. On Tuesday, Britain announced a new rule to limit huge internet giants like Google (GOOGL.O), Facebook (META.O), and Amazon (AMZN.O) from stifling competition in digital marketplaces.
The government claimed the measure would simplify canceling internet subscriptions and fake combat reviews, protecting customers.
Two years ago, Britain’s antitrust watchdog, the Competition and Industries Authority (CMA), created a Digital Markets Unit with the capacity to monitor emerging industries like social media.
It lacks legal “teeth” to support its mandate.
After passing parliament, the law will give the DMU additional powers over digital businesses with a global revenue of over 25 billion pounds ($31.2 billion) or a British turnover of over 1 billion pounds.
Google, Apple, and others opposed the EU’s large tech dominance regulation last year.
Under the new British law, the CMA can modify restrictions for internet corporations that satisfy its threshold to prevent them from unjustly disadvantaging smaller businesses and consumers.
The government suggested giving customers greater choice and openness.
It said violators might be punished with up to 10% of worldwide turnover.
CMA CEO Sarah Cardell said the measure could be a “watershed moment” in safeguarding consumers and ensuring digital marketplaces worked for the British economy.
“Digital markets offer huge benefits, but only if competition allows businesses of all sizes to succeed,” she added. “This bill is digital-age legal framework.”
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