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The Rise of Digital Imperialism: How U.S. Support Enables Tech Giants to Contest Foreign Regulations

4 April 2025 路 Uncategorized 路

Source: 路 https://technews.tw/2025/04/04/the-rise-of-digital-imperialism-why-is-the-u-s-government-defending-tech-giants/

The Rise of Digital Imperialism: How U.S. Support Enables Tech Giants to Contest Foreign Regulations
The internet has ushered in a global era, giving rise to tech giants and leading to an unprecedented power struggle between multinational technology companies and governments. Border-spanning social networks and online platforms have facilitated information flow but also brought serious challenges such as misinformation spread, the expansion of extremist rhetoric, and political manipulation鈥攇lobal digital powers led by American large-scale platforms are deeply involved in global business while operating under US legal concepts.

Even when the EU leads other countries to introduce regulatory bills like GDPR, these platforms leverage advantages from both US law and strong diplomacy to resist or legally challenge foreign regulations. This situation became more pronounced after Trump took office; conflicts between U.S. enterprises and regions such as Europe and Brazil intensified due to differing laws and sovereignty considerations.

Critics view this trend as 'American digital imperialism,' where internet giants underpinning American systems are attempting a form of cyber-colonialism using "US standards." Different countries have introduced various regulations targeting online speech and digital markets, often leading to international disputes when trying to regulate platforms legally. Many nations attempt to establish regulatory mechanisms in response to issues like misinformation, incitement to violence or extreme political rhetoric; however, these local or regional rules frequently clash with the positions of US-based companies.

American politicians and large platform groups not only lobby foreign governments for relaxed regulations but also use U.S. law to challenge rulings from other countries' courts. This has increasingly been seen as an act that overrides national sovereignty. On one hand, platforms control vast user bases and economic resources; on the other, US domestic free speech norms like the First Amendment are often used by them against foreign regulatory demands.

American politicians may also use this stance in diplomatic or trade negotiations to exert international political pressure. Conversely, legislative bodies from Europe, Brazil, Britain, Canada, etc., based on public interest, democratic order and their own sovereignty security considerations, regulate misinformation spreaders, hate speech propagators, or market monopolists.

In the EU, laws like the Digital Markets Act (DMA) and Digital Services Act (DSA), aimed at imposing stricter legal requirements on large online platforms, have been introduced. The DMA could impose fines of up to 10% of global revenue for violations; repeat offenders might face penalties as high as 20%. For instance, Apple's potential fine in the event it is found severely violating the DMA would be nearly $8 billion based on its 2024 revenues.

Many European developers and consumers have long been dissatisfied with restrictions imposed by companies like Google or Apple regarding app payments and search engine prioritization. This dissatisfaction has led to legislation targeting tech giants, but American politicians argue that EU regulations are unfair towards US enterprises; former President Donald Trump even called it 'foreign extortion,' threatening retaliatory tariffs.

Beyond the president, U.S. House Judiciary Committee Chair Jim Jordan and some Republican lawmakers strongly question these European digital laws: they claim Europe uses user protection as a pretext to target only American companies with fines while emphasizing that such regulations might infringe upon free speech protected by the First Amendment in America. Most global platforms apply content moderation policies uniformly across regions, which could affect US users under EU rules.

EU Competition Commissioner Teresa Ribera and European Commission member Henna Virkkunen have repeatedly clarified that DMA and DSA are not specifically targeting American companies but aim to protect market competition and user rights within digital spaces; the U.S. stance on extending First Amendment protections abroad is seen as an attempt at dominating international speech control.

In Brazil, Elon Musk's X platform faced legal challenges from Judge Alexandre de Moraes over misinformation spreaders' accounts in 2024. When X failed to comply fully with these orders, De Morais launched investigations against Musk for spreading false information and obstructing justice. Subsequently, he ordered the suspension of X operations nationwide if it did not appoint a legal representative within Brazil.

Musk strongly opposed this decision, calling de Moraes an 'evil dictator.' However, other Supreme Court judges supported his ruling until X agreed to comply with court orders including account bans and fines in exchange for lifting the ban on October 8th. In February of 2025, Rumble and Trump Media & Technology Group sued Judge De Morais over alleged attempts by him to force content moderation against Brazilian users based in America, violating their First Amendment rights.

These disputes highlight how different countries interpret free speech differently: while the U.S. prioritizes it globally under its own standards (often seen as digital imperialism), other nations like Brazil emphasize maintaining social order and public safety through platform regulation.

The EU's DMA and DSA aim to assert regulatory autonomy against American tech giants, with some suggesting that if every country regulates content according to their laws, global platforms will fragment into segmented markets. However, countries such as the U.S., viewing free speech broadly under First Amendment protections, see these regulations as threats to digital freedom.

This conflict is likely to intensify in emerging fields like AI regulation where similar disputes may arise again.
(Header image source: Shutterstock)

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