Digital Services Act / Digital Markets Act (similar in spirit, but one targets online stores like Google Play, another one online services like Instagram more generally)

More specifically, both are already in effect, outlawing certain things, and designating certain companies as "digital gatekeepers" when they reach a certain threshold of users within the EU.

These regulations don't really specify what every gatekeeper needs to actually do (above the bare minimum), but say that once a company is designated as a gatekeeper, corrective action to prevent their monopolistic behaviour are going to be decided on a case-by-case basis. In practice this means that corrective actions can be something very significant (like iOS having to ask EU users to set a default browser during device setup instead of defaulting to Safari) or nothing, which is why this direct line of conversation shows spinelessness.

It's pretty much an equivalent of a judge having open discussions with a criminal about how the court should interpret the law to suit the criminal better.