Tech Giants: Starting from Bankrupt Companies

370: Chapter 370 US Tech Giants SufferApril in Brussels arrived earlier than in previous years. The elms outside the European Union headquarters were already lush, their tender green leaves glistening under the sunlight. Inside the headquarters building, the crystal chandeliers in the press conference hall remained as brilliant as ever, their light refracting through three thousand crystals onto the deep blue seats, looking no different than a month ago. But in the air, there was a subtle irony flowing.

Reporters entered one after another, some carrying coffee, others adjusting their equipment, their conversations buzzing. A reporter from Le Monde found a seat near the front, set down his laptop, and said to a colleague from the Financial Times, ”Same room, same time, same question—only the protagonist has changed.”

The Financial Times reporter smiled. ”That’s what you call history’s sense of humor.”

At ten o’clock sharp, the doors to the side hall were pushed open. German Economic Minister Peter Altmaier strode in, followed by European Union Competition Commissioner Margrethe Vestager—but Vestager did not walk toward the podium. Instead, she sat in a chair in the corner, expressionless, like a forgotten statue.

Altmaier stood at the podium, gripping the edges with both hands as his gaze swept across the room. Today, he wore a dark gray suit with a tie in the black, red, and gold of the German flag, a hint of an irrepressible smile on his face.

”Today, the European Commission is launching three investigations into American tech giants.”

The large screen behind him lit up with a title in white text on a blue background. The design was identical to the one used when Xingchen was investigated a month ago, only the content had changed:

European Union Investigation Items into US Tech Giants

1. Google (Search Monopoly): Suspected of using its dominant market position in search to squeeze out competitors, violating Article 102 of the Treaty on the Functioning of the European Union.

2. Apple (App Store Commission): The 30% commission rate is suspected of abusing market dominance, and the mandatory use of Apple’s payment system constitutes unfair competition.

3. Amazon (Data Abuse): Using third-party seller data to develop its own business, suspected of violating European Union competition rules.

The sound of shutters suddenly intensified below the stage, and the flashbulbs became a continuous blur. Altmaier paused for a moment and slightly lifted his chin.

”The European Union treats everyone equally. If Xingchen can be investigated, why can’t the American giants?”

As soon as he finished speaking, a reporter in the back row raised their hand. ”Minister Altmaier, when Commissioner Vestager investigated Xingchen a month ago, Germany strongly opposed it. Now that Germany is presiding over the investigation into the American giants, is there a double standard?”

Altmaier smiled, a smile carrying the characteristic composure of a politician. ”Germany did not oppose the investigation itself, but the standards of the investigation. Now, the standards are unified. Any enterprise, regardless of where it comes from, must comply with European Union rules as long as it operates in the European Union market.”

He glanced intentionally or unintentionally at Vestager in the corner. Vestager did not look up, her gaze fixed on the empty table in front of her, her hands folded, motionless.

Another reporter stood up. ”Mr. Minister, how will the United States react to this?”

Altmaier shrugged. ”That is their business. The European Union acts according to the law and is not affected by external pressure. Next question.”

The press conference ended, and reporters swarmed toward the exit, their discussions rising and falling. Vestager stood up and walked alone toward the side door, her steps slow and heavy. Her assistant tried to follow, but she raised her hand to stop them.

The Le Monde reporter watched her back and whispered to his colleague, ”A month ago, she was still standing on that podium in all her glory. Now, she’s sitting in the corner and no one pays her any mind.”

His colleague shook his head. ”Power is something that comes quickly and goes even faster. She chose the wrong battlefield.”

Vestager disappeared behind the side door. In the hall, staff began packing up equipment. The crystal chandeliers remained brilliant, as if nothing had ever happened.

Two days later, Washington’s anger erupted like a volcano.

On April 3rd, in the press conference hall of the White House West Wing, spokesperson Jen Psaki stood at the podium in front of the blue backdrop. She was forty-five years old, with dark short hair and a serious expression, her brow currently furrowed. The room below was packed with reporters, the red lights of the cameras flashing, the atmosphere as tense as a drawn bow.

Psaki cleared her throat, her voice carrying through the hall via the microphone. ”The United States expresses strong concern over the European Union’s investigation into American tech giants. This is naked discrimination, trade protectionism, and a serious violation of global free trade rules.”

A reporter raised their hand. ”Ms. Psaki, when the European Union investigated Xingchen Technology last month, the United States did not express opposition. Now that the European Union is investigating American companies, the United States calls it discrimination. Does this mean the United States believes only it can investigate foreign companies, while other countries cannot investigate American companies?”

The corner of Psaki’s mouth stiffened slightly before she quickly recovered. ”The United States has always advocated for fair competition and opposes any form of discriminatory enforcement.”

Another reporter pressed further. ”The European Union says they treat everyone equally—if Xingchen can be investigated, why can’t American giants? What is the US view on this?”

Psaki paused, her finger tapping lightly on the podium. ”We are currently assessing countermeasures, including possible tariff retaliation.”

A few low chuckles came from the audience. A veteran reporter whispered to a colleague next to him, ”She’s been stumped.”

After the press conference ended, Psaki walked quickly off the podium, entered the side hall, and pulled out her phone to call the US Trade Representative.

Two days later, Brussels.

On April 5th, at the European Commission headquarters, a press spokesperson stood in the same hall facing reporters. His name was Eric Mamer, in his fifties, with gray hair and a French accent when he spoke.

”The European Union’s investigation is based on facts and the law and is not directed at any specific country,” Mamer’s voice was steady and composed. ”Equal treatment is the principle of the European Union. Any enterprise operating in the European Union market must comply with European Union rules. This applies to Xingchen, to Google, and to Apple and Amazon as well.”

An American reporter raised their hand. ”The United States is threatening to impose additional tariffs. Is the European Union afraid?”

Mamer smiled, a smile containing a certain European calm. ”Afraid of what? If they impose tariffs, we’ll impose a digital tax. It’s just mutual harm. The European Union imports three hundred billion euros worth of goods from the US every year, while the US imports two hundred billion from the European Union. If a trade war really breaks out, who will hurt more? The math isn’t hard to do.”

The reporters recorded his words rapidly. Mamer continued, ”And don’t forget, how much money these American giants make in Europe. Google’s European revenue accounts for 25% of its global total, Apple’s is 23%, and Amazon’s is 22%. They need the European market more than the European Union needs them.”

The press conference ended, and Mamer turned to leave with a light step. Reporters discussed among themselves, ”The European Union is for real this time.”

That same day, in a cafe in Brussels, Vestager sat alone in a corner, a cup of cold coffee in front of her. She looked out the window at the people passing by on the street; no one noticed this once-powerful Anti-monopoly Commissioner. Her phone vibrated with a text message from an ’old friend’ in the US: ’Have you seen? The European Union is investigating us.’

Vestager stared at the screen without replying. She placed her phone face down on the table, picked up the cold coffee, and took a sip, the bitter taste spreading across her tongue.

April 6th, New York, Nasdaq trading floor.

The morning sun streamed in through the massive glass curtain wall, illuminating hundreds of trading terminals. Traders entered one after another, dressed in suits, their expressions solemn. Huge electronic screens on the walls flashed green numbers, but no one was smiling.

The opening bell rang.

The numbers on the screen began to jump, but they were jumping in the wrong direction.

Google: Opened at -8%, then -10%, -12%.

Apple: -6%, -8%, -10%.

Amazon: -10%, -12%, -15%.

Red numbers poured down like a waterfall. Traders looked at each other in shock; some held their heads in their hands, while others cursed under their breath. A CNBC reporter stood in the center of the trading floor, voice trembling as they spoke into the camera:

”This is the darkest day in the history of tech stocks. The European Union’s investigation into the three giants has caused five hundred billion dollars in market value to evaporate in a single day. Five hundred billion—that’s equivalent to the GDP of the Netherlands.”

In the background, the red numbers continued to tumble. A trader slumped into his chair, muttering, ”It’s over, my bonus is gone.”

A colleague next to him gave a bitter laugh. ”Bonus? It’s hard to say if the company will even still be around.”

April 7th, Mountain View, California, Google headquarters.

The complex known as the Googleplex looked serene and beautiful in the sunlight, with lush lawns, winding bike paths, and employees riding colorful bicycles. But in the office of CEO Sundar Pichai, the atmosphere was as heavy as the sky before a storm.

Around an oval conference table sat a dozen people—Google’s board members, Chief Financial Officer, General Counsel, and the head of European affairs. Pichai sat at the head of the table, his expression grave, his fingers tapping lightly on the desk.

The General Counsel spoke up. ”The European Union’s investigation notice has arrived, involving three specific allegations of search monopoly: first, prioritizing our own services in search results; second, squeezing out price-comparison shopping websites; and third, mandatory bundling for advertisers.”

The CFO added, ”The European market accounts for 25% of our revenue. Last year, our revenue in Europe exceeded thirty billion euros. If we are found to be in violation, the fine could exceed ten billion euros, and we would have to adjust our business model.”

A board member frowned. ”What can we do? Lobbying? Public relations?”

Pichai gave a bitter smile. ”Lobbying? Germany and France aren’t buying it right now. German Economic Minister Altmaier was opposing the investigation into Xingchen a month ago, and now he’s personally spearheading the investigation into us. French Finance Minister Le Maire publicly stated that ’the European Union should investigate truly monopolistic enterprises.’ We are the ’truly monopolistic enterprises’ they’re talking about.”

Silence fell over the meeting room. After a long while, Pichai said, ”Let’s prepare the materials first. Cooperate with the investigation; have a good attitude, but move slowly—just like Xingchen did.”

The General Counsel smiled bitterly. ”But Xingchen can afford to wait; we can’t. They are building factories and creating jobs, while we are harvesting profits. The Germans know this all too well.”

April 8th, Cupertino, Apple headquarters.

The circular building of Apple Park shimmered with a soft silver light in the setting sun, its glass curtain wall reflecting California’s orange-red sky. But in CEO Tim Cook’s office, the curtains were half-drawn, the lights dim, and the atmosphere as oppressive as a funeral.

Cook sat on a sofa with several core executives before him. The CFO held a tablet, his voice low. ”The core of the European Union’s investigation is the App Store’s 30% commission. They have determined that this is an abuse of market dominance and that forcing developers to use Apple’s payment system constitutes unfair competition.”

The General Counsel added, ”If we lose, the fine could exceed twenty billion euros. More importantly, the European Union might force us to change our business model to allow third-party app stores and payment systems. That would completely destroy the iOS ecosystem.”

Cook was silent for a long time, his fingers lightly stroking the armrest of the sofa. Finally, he spoke, his voice calm but tinged with exhaustion. ”Xingchen just went through an investigation. How did they handle it?”

The head of European affairs looked up. ”They cooperated with the investigation and waited for things to change. Three months later, Germany and France took a side, and the investigation was automatically terminated.”

Cook nodded thoughtfully. ”Contact Xingchen. We need Xingchen’s help.”

The room fell into a state of shock. Someone said softly, ”Cook, we are competitors with Xingchen.”

Cook shook his head with a bitter smile. ”In the face of European Union rules, we are all prey being hunted. The hunter has changed, and the prey has changed as well, but the hunting ground remains the same. Perhaps we should learn how prey is supposed to survive.”

Outside, night fell over California. The buildings of Apple Park were brightly lit, but the lights in Cook’s office remained dim. He picked up his phone, scrolled to a number he had never dialed before, paused for a moment, and pressed the call button.

Brussels time, April 15th.

Outside the European Union headquarters, the leaves of the elms were even more lush. In the press conference hall, Altmaier stood at the podium once again, facing the reporters.

”The investigation has been underway for two weeks and is progressing smoothly,” he said. ”Google, Apple, and Amazon have all submitted preliminary materials and have shown a good attitude of cooperation. The European Union will proceed with the investigation according to the law to maintain fair competition in the Single Market.”

A reporter raised their hand. ”Mr. Minister, the United States is threatening to impose additional tariffs. Is the European Union prepared?”

Altmaier smiled. ”Prepared? We are always prepared. But look, US stocks have lost 1.5 trillion in market value in two weeks, and the American tech giants have suffered heavy losses. Perhaps they are the ones who truly need to be prepared.”

The reporters in the audience laughed.

The chair in the corner was empty. Vestager did not come today.

The same day, Shenzhen.

Su Chen sat in his office watching the news on the screen, the corners of his mouth turning up slightly. Lin Wan, standing to the side, couldn’t help but laugh. ”President Su, the Americans are getting a taste of it too.”

Su Chen shook his head. ”What they’ve tasted isn’t even half of what we did. The European Union’s investigation into Xingchen was aimed at total annihilation. For the American giants, it’s at most a bit of flesh being carved out.”

He picked up his teacup and took a sip. ”But one thing is the same—time is always on the side of those who create value. Xingchen is building factories, creating jobs, and helping Europe build cars. The American giants are harvesting, taking commissions, and sucking blood. The Europeans aren’t stupid.”

Outside, the surface of Shenzhen Bay shimmered, and a cargo ship slowly passed by, the blue ’COSCO’ logo printed on its containers.

Lin Wan asked, ”Did Cook really call you?”

Su Chen smiled, a playful look in his eyes. ”He did. I refused to help.”

”Why?”

Su Chen stood up and walked to the window. ”Let them wait. When they truly understand what pain is, then we’ll talk.”

Outside, the sea and sky were one color, and the sun was just right. In the distance, the Hong Kong skyline was faintly visible through the mist, like a mirage from another world.