On a tense Friday in late August 2025, the simmering standoff between the United States and Europe over tech regulation burst back into the headlines, as France and Germany stood firm against U.S. President Donald Trump’s threats regarding European technology laws. At the heart of the dispute: the European Union’s ambitious attempt to rein in Big Tech through landmark legislation, and the growing pushback from American companies—most notably Apple—caught in the regulatory crossfire.
Earlier in the week, President Trump had ratcheted up the pressure, threatening to slap additional tariffs on any country with digital taxes or regulations that he claimed were designed to harm or discriminate against American technology. Trump’s words marked an escalation in his ongoing criticism of the EU’s digital services rules, particularly the Digital Markets Act (DMA) and the Digital Services Act (DSA), two pieces of legislation that have sent shockwaves through Silicon Valley since their passage.
But European leaders were quick to respond. Speaking at a joint news conference with German Chancellor Friedrich Merz, French President Emmanuel Macron drew a clear red line. “Tax and regulation issues are the preserve of our national parliaments and the European parliament. We won’t let anyone else decide for us,” Macron declared, according to reporting from Economic Times. He made it clear that any move by the U.S. to challenge the bloc’s regulations would be met with retaliation, referencing the EU’s anti-coercion instrument—a legal tool that allows the bloc to punish countries seeking to pressure it into changing its policies. Macron was unequivocal: “Should such measures be taken, it would qualify as coercion and prompt a response from the Europeans.”
Chancellor Merz echoed Macron’s sentiment, underscoring the EU’s determination to defend its sovereignty. “We are doing this in our own interest and solely for our own interest, and we will certainly not be guided by statements that perhaps consider completely different, perhaps even no, regulation necessary,” Merz said. The message to Washington was clear: Europe will chart its own course when it comes to regulating the digital landscape.
The European Commission, the EU’s executive arm, quickly chimed in as well. Earlier in the week, it reaffirmed what has become a familiar refrain in Brussels: it is the sovereign right of the EU and its member states to regulate economic activities within their borders. The Commission also firmly rebutted Trump’s assertion that the EU’s rules unfairly target U.S. companies, stressing that the DMA and DSA apply to all platforms and firms operating in the bloc, regardless of their country of origin.
This diplomatic spat comes at a time when the EU’s regulatory muscle is being felt far beyond its borders. On the same day that Macron and Merz made their stand, Apple announced it would delay the release of several highly anticipated features—Apple Intelligence, iPhone Mirroring, and SharePlay Screen Sharing—for users in the European Union. The reason? Regulatory concerns stemming directly from the DMA.
In a statement shared with European outlets, Apple explained its decision bluntly. “Specifically, we are concerned that the interoperability requirements of the DMA could force us to compromise the integrity of our products in ways that risk user privacy and data security,” the company told The Guardian. As a result, European customers will have to wait until at least 2025 for access to these features.
Apple Intelligence, unveiled at this year’s Worldwide Developers Conference, represents the tech giant’s boldest leap into artificial intelligence yet. The suite includes tools for prioritizing notifications, drafting and summarizing emails, automated audio transcriptions, a revamped Siri, and even a ChatGPT integration with iOS 18. Apple has repeatedly emphasized its commitment to privacy and data autonomy, promising that Apple Intelligence would run on a private cloud computing system and that users would be asked for explicit permission before engaging with ChatGPT actions.
The other two features being withheld from the EU—iPhone Mirroring and SharePlay Screen Sharing—aren’t directly tied to Apple Intelligence, but they do relate to the DMA’s core demand: interoperability. iPhone Mirroring allows users to control their iPhone screens from a Mac desktop, while SharePlay Screen Sharing lets users take control of a remote device via FaceTime. Both features, Apple argues, could be compromised if the company is forced to comply with the DMA’s requirements for allowing third-party interoperability and preventing favoritism of its own products.
The DMA itself, passed by the European Commission in 2022, was designed to tackle what Brussels sees as monopolistic practices by so-called “gatekeepers”—tech giants with outsized influence over digital markets. The legislation mandates that these companies allow third-party interoperability, do not favor their own services, and avoid blocking the use of competing apps. The goal, according to the Commission, is to make the tech industry more competitive and equitable for consumers and smaller players alike.
Apple, for its part, has fought the DMA tooth and nail. The company has long argued that its tight control over the iOS ecosystem is necessary to protect user privacy and security—a stance it has used to justify practices like banning alternative app stores and making its Safari browser undeletable. But the European Commission isn’t buying it, and has recently threatened Apple with hefty fines for failing to comply with EU law.
For now, Apple is holding firm. “We are committed to collaborating with the European Commission in an attempt to find a solution that would enable us to deliver these features to our EU customers without compromising their safety,” the company said in its statement. The European Commission, meanwhile, responded with its own pointed message: “Gatekeepers are welcome to offer their services in Europe, provided that they comply with our rules aimed at ensuring fair competition.”
The impasse leaves hundreds of millions of European Apple users in limbo, unable to access the latest AI-powered tools that their counterparts in the U.S. and elsewhere are already enjoying. It also raises thorny questions about the future of global tech regulation: Can Europe successfully assert its digital sovereignty without sparking a trade war with the U.S.? Will American tech giants ultimately bend to Brussels’ rules, or will they continue to resist, potentially cutting off European consumers from the latest innovations?
One thing is certain: the battle lines have been drawn. As the world’s two largest economies square off over the future of digital regulation, the outcome will shape not only the fortunes of Apple and its peers, but the very fabric of the internet for years to come.
For now, the standoff continues, with both sides signaling they’re prepared to dig in. European leaders insist they won’t be bullied into changing course, while American companies warn of risks to innovation and user privacy. The next move, it seems, is anyone’s guess.
