EU says Booking must now comply with Digital Markets Act
The European Commission has mandated that Booking.com comply with the Digital Markets Act (DMA) after its designation as a "gatekeeper". The DMA imposes strict regulations on tech giants to ensure fair competition and consumer choice. Companies with over 45 million monthly users and a market cap of 75 billion euros are classified as gatekeepers. Non-compliance can result in fines up to 10% of global turnover, increasing to 20% for repeated violations, and restrictions on acquisitions.
AMSTERDAM, Nov 14 (Reuters) - The European Commission on Thursday said hotel reservation website Booking.com must now comply with strict EU obligations, following its designation as a “gatekeeper” under the Digital Markets Act in May.
The Digital Markets Act (DMA) is one of the most stringent regulations targeting tech giants’ market dominance, imposing tougher obligations to moderate content, allow fair competition and make it easier for consumers to switch between services.
It designates companies with more than 45 million monthly active users and 75 billion euros ($79 billion) in market capitalisation as gatekeepers, providing a core platform service for business users.
If a gatekeeper does not comply with the DMA, the Commission can impose fines of up to 10% of the company’s total worldwide turnover, which can go up to 20% in case of repeated infringements. It can also impose limits on takeover activity. ($1 = 0.9520 euros)
