An anonymous reader quotes a report from Ars Technica: The European Union is ramping up pressure on Meta to make big changes to Facebook and Instagram after the European Commission preliminarily found that features like autoplay, infinite scroll, and highly personalized content recommendations were addictive. On Thursday, the EC said its investigation indicated that "Meta did not adequately assess the risks of its addictive design on the physical and mental wellbeing of users, including minors and vulnerable adults." "These features fuel the user's urge to keep scrolling and shift the brain into 'autopilot mode,' contributing to unhealthy habits and compulsive use," the commission said. Over the next few months, Meta will have an opportunity to dispute the claims, and it has already taken a defensive stance. Meta's spokesperson, Ben Walters, told Reuters that Meta disagrees with the commission's preliminary findings, which supposedly "don't accurately take into account the significant steps we've taken to protect teens." "Since this investigation began, we rolled out Teen Accounts that automatically protect teens and put parents in control -- allowing them to block access to Instagram at night and cap daily screen time at just 15 minutes," Walters said. However, the EC emphasized that Meta's current mitigation efforts, including time management tools activated by default for teens, "failed to effectively tackle the risks stemming from its addictive design." Additionally, parental controls were deemed "only effective if parents and guardians possess adequate technical expertise" and dedicated "effort and time to understand them effectively." "This undermines the efficiency of such measures in addressing the inherent risks posed by Instagram and Facebook's addictive design," the EC said, particularly for minors. At this stage, the EC recommended that Meta consider "disabling key addictive features such as 'autoplay' and 'infinite scroll' by default, implementing effective 'screen time breaks,' and adapting its recommender system to make it less engagement-oriented." If Meta fails to make changes to comply with the EU's Digital Services Act, the company risks fines up to 6 percent of its global annual turnover when the EC makes its final decision in the coming months. "Our starting point is that, based on our findings, this design is too addictive and changes need to be made," Henna Virkkunen, the EU's tech chief, told Reuters. "The next step is either that Meta changes its design or a non-compliance decision will follow," she said, noting in the press release that the EU's priority is "protecting the physical and mental health of Europeans." "The Digital Services Act provides a clear framework to hold platforms accountable for the addictive design and effects of their services," Virkkunen said. "We are fully committed to enforcing our legislation in Europe." The report also notes that the EC will share findings from experts on Monday that "could help pave the way for a Europe-wide social media ban for teenagers." It's not looking much better for Meta in the U.S., either. The company faces a lawsuit from 29 states that claim Meta's platforms addict kids. "That trial begins in August, and states may seek up to $1.4 trillion in penalties if Meta is found guilty," reports Ars.

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Europe's General Court dismissed Apple's challenge to the EU's designation of its App Stores and iOS as "gatekeepers" under the Digital Markets Act. The ruling means Apple remains subject to DMA obligations requiring it to allow alternative app stores, support interoperability with rival services, and avoid favoring its own services over competitors. MacRumors reports: Apple took its case to Luxembourg's General Court in 2024 after the European Commission designated its five App Stores -- on the iPhone, iPad, Mac, Apple TV, and Apple Watch -- as a single core platform service under the Digital Markets Act (DMA), a label that brings with it a set of strict obligations. Designated "gatekeepers" are prohibited from favoring their own services over those of rivals, and are prevented from combining personal data across different services. They also have to give users the option to use alternative app stores. Apple also challenged the EU's designation of iOS as a gateway platform, a status that requires the operating system allows rival services to interoperate with it. The company also disputed the classification of iMessage as a number-independent interpersonal communications service, or NIICS, which would subject the app to EU telecoms rules. But the General Court said Apple's actions regarding the iMessage service are inadmissible.

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Google was ordered to pay almost $2 billion this week to Pricerunner, reports Bloomberg: The Patent and Market Court in Stockholm, which issued the judgment on Wednesday, dismissed most parts of the claim in which Pricerunner sought 80 billion Swedish kronor, or roughly $8.2 billion, in the wake of a European Union antitrust crackdown... The Swedish price-comparison website argued that Google has been abusing its dominant position as a search engine by favoring its own comparison shopping service over competing portals for more than a decade. Wednesday's award compensates for lost revenue caused by Google's preferential treatment of its own comparison-shopping service over independent price-comparison services, conduct that also drives up costs for consumers, [Pricerunner owner] Klarna said in a statement after the judgment... A Google spokesperson said the company doesn't agree with the court's decision and will consider its legal options. [The ruling can be appealed.] Changes implemented in 2017 to Google's platform are working and generating growth and jobs for hundreds of comparison shopping services operating more than 1500 websites across Europe, according to the statement. The litigation is linked to a 2017 decision by the European Commission to fine Google €2.4 billion for illegally leveraging its search dominance to give its own shopping service an edge. The EU decision unleashed a wave of so-called follow-on suits, which were delayed for years as Google appealed the EU fine. Two years ago the EU's top tribunal confirmed that the company did violate antitrust laws — meaning EU-based plaintiffs no longer have to prove that in court. A Berlin court last year ordered the tech giant to pay €573 million in damages to two German price-comparison websites, a ruling Google appealed. Similar cases are pending across Europe.

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