Big Tech can earn enough in a week to cover 2023 fines, highlighting the need for stronger regulation
Proton, a Swiss-based privacy company, conducted a study indicating that if each company paid their fines sequentially, it would take a little over a week, with Meta requiring the longest time—five days and 13 hours.
In the first week of 2024, leading tech companies, including Alphabet, Amazon, Apple, Meta, and Microsoft, collectively generated sufficient revenue to pay off the $3 billion in fines they received in 2023.
Proton, a privacy company based in Switzerland, conducted the research and found that if each company paid their fines sequentially, it would take a little over a week, with Meta being the last to finish after five days and 13 hours. Meta had the highest fines at $1.72 billion, followed by Alphabet with $941 million.
The study also revealed that these fines, viewed as a mere ‘cost of doing business,’ are too weak to deter tech giants. It underscored the urgent need for heftier fines and stronger antitrust legislation to ensure fair competition and prevent delaying tactics.
Why does it matter?
The fact that leading tech companies can swiftly cover substantial fines in just a week highlights the inadequacy of current penalties, which are perceived as negligible compared to their massive revenues. As highlighted by the Proton study, the need to align legislation has already been acknowledged by some countries, such as the UK, through the Digital Markets, Consumer, and Competition Bill, along with similar legislation proposals in South Korea and Japan.
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