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  • Chris Bratton - Tech Journalist

UK’s new tech competition plan to rein on Big tech comes out of the shadow

A new practice named DMU comes out of the UK regulatory bodies to rein on big techs such as Facebook, Google and others. Digital Markets Unit (DMU) will oversee the most potent digital firms and guarantee that fair competition is available in the market.

According to the new ruling, DMU will oversee the market, and large tech companies may have to count hefty fines if they do not abide by the government body. Companies may face up to 10 per cent of their total turnover if they fail to comply with the rules. It is not the first time the government of the UK has been ruling to get balance and control in hands. The US tech firms are notorious for removing market competition; hence small and large businesses suffer a ton.

Many SMBs not on the platform may have to go through loss as advertisement run on the giant tech is already being sent to a comprehensive count of customers and users. The DMU will bring out exciting opportunities to “influence the regulations of big tech.” As the digital market plays a crucial role in our personal, economic and social lives, the trend has to go under proper management to follow substantiality.

Over the last few years, when the pandemic was running all over digital media, customers were informed of products via these digital formats. It is a place where large tech firms dominate the market as they have the power to shape algorithms in accordance to need.

According to BBC, the Digital Markets Unit (DMU) will have full power to clamp down “predatory practices” of big tech. At Tech News Hub, we frequently update our readers on the big tech crackdowns, government rulings and how IT organisations take it. As many of our readers are business decision-makers, it is important that we bring out the collaborative practice so they can stay up to date.

Our regular readers may not find it surprising as every few months; a new ruling comes out to measure the imperfections in tech. Most of the time, they are from the UK and the US. We’ve seen data security, data transfer, competition crackdown and other practices under government rulings where big tech gives off a significant chunk of their profit if not appropriately maintained. This new body will ensure data is protected and predatory practice is removed even before taking in heavy fines.

Chris Philip, Digital minister, said the government is trying to make a “level” playing field in the technology sector, and each of the rulings is getting us toward the step. A few American companies are trying to do whatever they wish as they have unmatched market dominance, but it stops now. Having a great audience and user count to become an example is one thing. The contrary is different when they try to keep most of the market share.

When customers are locked in one product or platform, critics call it a “walled garden.” It is tough to get out of it as big techs hold multiple features into account. For example, targeted adverts have a considerable market potential where big techs gain the most revenue. Users switching between Android and iPhone should be a seamless experience, and data should be handled appropriately. If one platform gives out more features because they are the largest mobile OS, the biggest search engine, or the premier brand, it easily becomes a dominant market.

We all know google pays a hefty fee to stay as the default search engine for Apple products. Where Apple benefits from that without doing anything, Google revenues a ton from the users. And the income stays in between these tech giants. On the contrary, if DMU takes proper action, content creators and publishers will be paid fairly, and it won’t depend on the platform. We may spectate an increase of “bargaining power” by the UK government ruling.

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