Australia has proposed a landmark law to impose fines of up to A$50 million on global technology giants for anti-competitive practices, sparking a heated debate about the future of the digital market.
“This is about leveling the playing field,” Assistant Treasurer Stephen Jones said, addressing attendees at the McKell Institute. “The digital economy challenges our current legal framework. Dominant platforms charge higher costs, reduce choice, and lock consumers into their ecosystems. We need to act now.”
The center-left Labor government has taken a tough stance on Big Tech, after passing a law last week banning access to social media for children under 16. Jones stressed that the proposed legislation would enable the Australian Competition and Consumer Commission (ACCC) to investigate. and microtechnology companies engaging in anti-competitive behavior.
“Our focus is clear,” Jones added. “We’re starting with app marketplaces and ad tech services. Platforms must stop prioritizing their low-rated apps and giving unfair advantages to their services.
The law mirrors the EU’s Digital Markets Act and aims to make it easier to switch between competing platforms such as social media, internet browsers and app stores. The consultation process will continue until February 14, followed by further discussions to finalize the draft.
“Innovation outside of the big tech companies is being stifled,” Jones noted. “We are sending a clear message: Australia will not allow monopolistic practices to dominate.”
Tech giants such as Google, which owns 93% of online search services in Australia, and Apple, which controls 60% of app downloads, may face unprecedented scrutiny. Meta’s Facebook and Instagram, which provide 79% of social media services, are also in the spotlight.
“It’s time to give the power back to consumers,” Jones concluded. “It’s not about punishing success; “It’s about promoting fair competition.”