EU Commissioner Who Targeted U.S. Technology Giants Gets Second Term--Update
September 10 2019 - 9:11AM
Dow Jones News
By Valentina Pop
BRUSSELS -- Margrethe Vestager, the Danish politician who has
been the public face of the European Union's regulatory push
against Silicon Valley, has been nominated for a second, five-year
term as the bloc's competition commissioner.
The move was a surprise. Ms. Vestager was expected to hand over
the competition role -- a powerful post with hands-on
responsibilities for investigating and enforcing anti-competition
issues -- as she ascended to a higher position in the commission.
She will also take on an influential new role in shaping
legislation for digital companies.
Ms. Vestager made a name for herself by slapping record
antitrust fines on U.S. tech companies, including a total of $9.4
billion on Alphabet Inc.'s Google. She also o rdered Ireland to
claw back $15 billion from Apple Inc. in what the commission called
unpaid taxes. That earned her the nickname "tax lady" from
President Donald Trump.
The division she has led for the last five years has pursued
high-profile probes against Amazon.com Inc., Facebook Inc. and
Qualcomm Inc., as well as non-tech American giants like McDonald's
Corp., Fiat Chrysler Automobiles NV and Starbucks Corp.
Ms. Vestager is slated to become one of incoming European
Commission President Ursula von der Leyen's three "executive"
deputies, in a move that is expected to provide the new president
with extra clout in commission deliberations. Her mandate over rule
making related to the digital economy could give her even more
influence over global tech regulation. Ms. Vestager confirmation by
the European Parliament is widely expected.
Regulatory rule making in Brussels and Washington has emerged as
a key issue facing the West's big tech giants, dominated by
American companies. Europe has taken a sizable lead over policing
Silicon Valley in recent years but the U.S. has also piled in on a
number of fronts in recent months. Several agencies, including the
Justice Department and the Federal Trade Commission, have taken aim
at tech companies, as have attorneys general across the
country.
Ms. von der Leyen's administration has already signaled a push
for new laws on emerging technologies like artificial intelligence
and the use of big data. It has promised action on this front
within 100 days of taking office on Nov. 1. The commission, under
Ms. Vestager, is already probing how companies like Facebook and
Amazon.com use data gathered on their platforms. Both companies say
have done nothing wrong.
American tech companies have said they generally welcome greater
oversight. Apple Chief Executive Tim Cook last year in Brussels
attacked the "data-industrial complex" and called tighter privacy
regulation. Facebook has touted its new efforts to police the
content on its site.
But lawyers warned tech giants to brace themselves for more
European scrutiny.
The commission's focus on "digital giants is set to sharpen
further," said Alexi Dimitriou, competition counsel at Ashurst, a
multinational law firm. "With her remit also expanding to
coordinating wider digital policies, digital business should expect
regulatory intensity to continue," he said.
Write to Valentina Pop at valentina.pop@wsj.com
(END) Dow Jones Newswires
September 10, 2019 08:56 ET (12:56 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.
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