Google, Apple, Microsoft probed in scam crackdown

You either go to the woods and raise your kids in the wild, just like Captain Fantastic did for a while, completely disconnected from the world. Or you are a part of the big and dangerous game of technology.

Like most people, I didn’t think it would happen to me. But online scams are now a global epidemic — and regulators are taking notice.

Yes, you can take precautions, but if you have a smartphone, social media, or apps, chances are you’ll suffer the consequences at some point.

While traveling to Greece this summer, I tried to buy an e-SIM card. Within minutes, my credit card information was stolen, and I lost $50 to a scam. I had to block the card while on vacation, and open my eyes.

Like most people, I never thought this could happen to me.

However, according to the FBI's Internet Crime Complaint Center’s annual report, scammers stole a record $16.6 billion in 2024. More than a quarter million complaints report money lost to a scam, with an average loss of more than $19,000.

Various types of online scams include deceptive benefit payment messages, false “free trial” offers, bogus emails, counterfeit goods, and more. 

How do large tech companies behind app stores and social media platforms work to minimize fraudulent activity?

The European Union is about to find out.

EU investigates Apple, Google, and Microsoft’s handling of online scams

The European Commission is looking into Apple  (AAPL) , Google  (GOOGL) , and Microsoft’s  (MSFT)  measures to prevent their platforms being used for financial fraud.

The EU bloc’s regulators plan to send formal requests for information to the three U.S. Big Tech companies, under the authority it holds with the Digital Services Act, to address financial scams.

We see that more and more criminal actions are taking place online. We have to make sure that online platforms really take all their efforts to detect and prevent that kind of illegal content, the EU’s tech chief Henna Virkkunen told the Financial Times.

The formal requests could result in a formal investigation and potential fines against the tech giants.

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Meanwhile, President Doland Trump has recently warned he will punish countries that “discriminate” against U.S. companies by raising tariffs. However, Google, Apple, and Microsoft are not the only companies set for investigation.

The EU bloc also confirmed it will investigate how the global accommodation platform Booking Holdings handles scams. Booking Holdings’ biggest subsidiary, Booking.com, is based in Amsterdam.

Virkkunnen highlighted that the Commission analyzed companies' operations, not their location.

The Commission will examine risks of online financial scams

According to the official announcement, the Commission is asking the companies “to provide detailed information on how they assess the presence of fraudulent content and what measures they take to reduce the risks of financial scams.”

• Apple App Store and Google Play: The Commission focused on fraudulent applications designed to deceive customers into thinking these are legitimate banking, investment, or trading apps.
• Booking.com: The aim is to address fake accommodation listings, created to trick users into making payments that never result in an actual booking.
• Bing and Google Search: The request concerns links and ads that take users to fraudulent websites.

The Commission wants to review how Apple App Store, Google Play, and Booking.com verify the identity of the businesses using their services.

Related: 5 things you should know about cyberattacks in 2025

The request for information comes amid an ongoing investigation into Meta’s Facebook and Instagram for potential breaches of the Digital Services Act.

Additionally, the Commission is analyzing whether Chinese companies Temu and Shein follow the DSA concerning illegal products on their marketplaces.

Companies that fail to curb illegal content under the DSA face penalties of up to 6% of their annual global turnover.

Online fraud losses surpass $4.68 billion a year

On September 24, Virkkunen shared on X (formerly Twitter), “Under the Digital Services Act, very large online platforms and search engines must assess and mitigate systemic risks, including those linked to the spread of illegal content and consumer protection.”

Virkkunen added:

Today, we sent requests for information, under the #DSA, to Apple, http://Booking.com, Google and Microsoft on how they identify & manage risks related to financial scams. Online fraud can start very easily nowadays, and too often results in financial losses for consumers.

Related: Sam Altman worried AI could steal money from your bank account

The EU’s tech chief told the Financial Times that online fraud losses exceeded €4 billion ($4.68 billion) across the bloc. Virkkunen suggested that the advancement of artificial intelligence has made it more challenging to detect scams.

There are 12 types of financial scams, according to a report by Comply Advantage.

Types of financial fraud:

• Identity theft
• Payment fraud
• ACH fraud
• Account takeover fraud
• Advance fee fraud
• Credit card fraud
• Investment fraud
• Consumer fraud
• Fraudulent charities
• Return fraud
• Chargeback fraud
• Cybercrime

How to avoid cyber fraud

Experts advise various tactics to prevent online fraud, depending on the type of scam. The Federal Deposit Insurance Corporation, cybersecurity expert Claudiu Popa, and the Consumer Protection offer multiple tips.

Tips to prevent various online scams:

• Use strong, unique passwords.
• Enable two-factor authentication and account alerts.
• Avoid public Wi-Fi for banking.
• Do not open emails from people you don’t know.
• Be careful with links and new website addresses.
• Secure your personal information.
• Stay informed on the latest cyberthreats.
• Keep your software and operating systems up to date.

Time is of the essence when you get defrauded, said Popa. The sooner you find out, the more likely it is that your banking institution will work with you, rather than protect themselves against you.

Remember, real investments don’t just come out of the blue, and if you don’t understand the investment, walk away.

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