ZeroHedge·2025-11-19 09:15Core Perspective - The European Commission has initiated three investigations into Amazon and Microsoft to assess whether their cloud computing services should be classified as gatekeepers under the EU's Digital Markets Act (DMA) [4][5][9] Investigation Details - Two of the investigations will evaluate if Amazon Web Services (AWS) and Microsoft Azure meet the criteria to be designated as gatekeepers, despite currently not fulfilling the quantitative thresholds for size, user numbers, or market dominance [5][6] - To qualify as a gatekeeper under the DMA, a company must have over 45 million monthly active users and a market capitalization exceeding 75 billion euros (approximately US$87.87 billion) [6] - Companies that violate DMA regulations could face fines of up to 10% of their global revenue [6] Regulatory Implications - The DMA's requirements for interoperability and alternative ranking systems may inadvertently lead to more uniform and risk-averse content moderation policies among large platforms, potentially affecting free speech online [7][8] - The third investigation will assess whether the existing DMA framework is adequate to tackle anticompetitive practices in the cloud sector [9][11] Statements from Companies - AWS expressed confidence that the EC would determine that stricter regulations are unnecessary, citing the dynamic nature of the cloud computing sector [12][13] - Microsoft stated its readiness to participate in the inquiry, acknowledging that if AWS and Azure are deemed important gateways, they could be added to the list of core platform services already classified as gatekeepers [14][15] Timeline for Investigations - The EC aims to conclude its investigations within 12 months, with a potential six-month compliance period for any designated gatekeepers [16] - The broader investigation regarding the adequacy of the DMA in governing the cloud market is expected to conclude within 18 months and may lead to formal updates to the legislation [16]