EU's Strategic State Aid Plan for Energy and Tech Giants Amid Economic Strains

The European Union may permit state aid for energy-intensive companies impacted by electricity price increases due to the Iran war. Competition chief Teresa Ribera discussed potential relief and support plans, echoing previous crisis strategies. Additionally, Ribera is scrutinizing Meta Platforms' recent policy changes impacting AI chatbots.

The European Union may allow state aid for energy-intensive companies coping with skyrocketing electricity prices, triggered by the Iran war, according to competition chief Teresa Ribera. She emphasized the untapped potential of state aid measures for member states to alleviate electricity costs for heavy users.

Ribera, speaking at a German antitrust conference, highlighted the European Commission's readiness to implement support measures and long-term strategies, referring to past crisis responses like the COVID-19 pandemic and the war in Ukraine. Previous programs enabled governments to inject billions into businesses.

Ribera is also evaluating Meta Platforms' policy shift where the company reversed its decision to exclude rival AI chatbots from WhatsApp, opting to introduce a fee instead. This development has prompted rival firms to call for EU antitrust intervention, citing complex and exorbitant fees.

(With inputs from agencies.)