The European Commission’s first review of the Digital Markets Act (DMA), conducted ahead of the May 3, 2026 deadline, found the regulation has made digital markets fairer and more contestable without requiring immediate major changes. The review considered stakeholder feedback from over 450 contributors, including SMEs, gatekeepers, civil society, and academics. It concluded that the current DMA rules remain appropriate and did not recommend expanding the list of core platform services to include generative AI or extending interoperability obligations beyond messaging services to social media platforms.
Assessment confirms DMA’s positive early impact
The DMA, which became enforceable in March 2024, regulates gatekeepers—large digital platforms designated based on their size and influence—to ensure fairness and contestability in the digital economy. The Commission’s review acknowledged “tangible positive impact” within just over two years, citing improvements such as greater transparency through new reporting requirements, increased user choice—evident from smaller browsers gaining users due to choice screens—and enhanced business opportunities. However, it also noted mixed practical results in areas like alternative app stores and detailed advertising data access, where technical and contractual barriers limit full effectiveness.
Interoperability and scope expansions remain under evaluation
Two specific topics underwent particular scrutiny. First, the Commission examined whether the interoperability mandate under Article 7, currently applying to messaging services, should be extended to online social networking services such as Facebook and Instagram. The review found it premature to do so, as messaging interoperability itself has seen limited uptake and consumer interest appears stronger for vertical rather than horizontal interoperability within platforms.
Second, the Commission evaluated the DMA’s applicability to AI and cloud computing services. While cloud computing is a core platform category, no gatekeeper designations have yet been made. Market investigations opened in late 2025 are assessing whether Microsoft Azure and Amazon Web Services qualify as gatekeepers. The Commission identified concerns about cloud market concentration and bottlenecks related to interoperability, data portability, and contractual terms. A final decision on cloud designations is expected by November 2026, with related DMA modifications possible after a May 2027 investigation deadline.
AI regulation balanced between enforcement and future adjustments
Generative AI services stirred mixed reactions among stakeholders, with some advocating for stricter DMA inclusion and others calling for caution. The Commission determined that while DMA cannot address every AI-related competition issue, ongoing enforcement actions against companies like Google and Meta are preferable in many cases. The Commission prioritized ensuring AI services integrated or linked to gatekeeper platforms comply with DMA requirements, particularly regarding data usage consent and fair access.
Additionally, the Commission is exploring whether to designate certain AI services as virtual assistants—a current core platform service without any designations—and may consider future DMA changes to address AI-specific competitive dynamics.
Why it matters
This review marks the EU’s first comprehensive evaluation of the Digital Markets Act’s real-world impact, confirming its role in enhancing competition in large digital platforms. By deliberately avoiding swift expansions to emerging sectors like AI and cloud, the Commission aims to balance regulatory clarity with the need for further evidence. The ongoing investigations into cloud gatekeepers and AI services will shape potential revisions to ensure the DMA adapts to evolving technological landscapes without premature regulatory overreach.
Read more AI Regulation stories on Goka World News.
Sources
This article is based on reporting and publicly available information from the following source: