EU regulators are poised to grant the European Commission powers to fine Big Tech for failing to shield consumers, especially children, from online spending traps. Michael McGrath underscored the urgency, noting the Commission will unveil a proposal to tighten digital fairness rules by year‑end.

The bloc is also weighing age‑based social‑media bans, following the UK’s move to bar under‑16 users from platforms such as Tik Tok Inc, Instagram, and Snap Inc. Ursula von der Leyen has voiced support for stronger safeguards, while Poland raises concerns over overlap with the Digital Services Act.

The draft legislation targets addictive design, subscription traps and dark patterns. It would let the Commission enforce cross‑border systemic cases and levy fines on both large platforms and smaller online traders, a tool that has never been used to date.

For investors, the prospect of new penalties signals higher compliance costs and potential valuation pressure on major tech firms, while also reshaping the competitive landscape for emerging digital servicesiped