Apple may face a sizable fine if EU antitrust investigators find it violated the bloc’s digital regulations.
The iPhone manufacturer is also subject to an additional inquiry on new levies that are imposed on app developers.
After a March inquiry, the European Commission, also the EU’s antitrust regulator, forwarded Apple its preliminary conclusions.
The Commission filed its first accusation against Apple under the Digital Markets Act, aiming to limit Big Tech and support smaller competitors.
By March next year, a decision will be made; violations of DMAs could result in fines up to 10% of annual turnover.
Apple’s Compliance Efforts and Criticism
EU antitrust watchdog Margrethe Vestager criticized Apple’s new terms, stating they don’t fully comply with the DMA.
Apple can avoid fines by adjusting business conditions to address issues.
She voiced concerns at a conference, emphasizing limitations on app developers’ communication.
Vestager won’t dictate compliance but leaves it to Apple.
Apple claims it’s made significant changes to comply with DMA.
The Commission states Apple permits steering via “link-outs,” allowing app developers to link users to web pages for contracts.
Moreover, it criticized Apple for overcharging fees, beyond necessary, to facilitate developers’ initial client acquisition via the App Store.
Apple asserts confidence in its compliance, addressing developer concerns.
The EU will launch an inquiry into Apple’s new contractual obligations for app shops and developers, assessing their appropriateness.
Key issues include core technology costs, complex steps for installing rival app stores, and developer prerequisites for alternative stores.
These fees include the core technology fee, which is charged to big app developers even if they do not utilize any of the company’s payment systems.
Moreover, Vestager criticized Apple for postponing AI introduction, suggesting it implies anticompetitive behavior.
Click here for more news on Technology.
Click here for more Business news.