The European Commission is going to impose a fine on Apple due to alleged anti-competitive practices that have to do with the App Store, the Californian company’s application store. This economic sanction would be the consequence of the alleged lack of compliance with the regulations of the regulation of digital markets (DMA), and could translate into a penalty of several million euros.
This case, which pits the European Union against Apple, is especially significant, as it highlights the conflict between the technology giant and the European authorities, who seek to protect the rights of developers and consumers in the digital sphere.
The conflict between Apple and the European Union continues
For years, the European Union has questioned Apple for its restrictions on competition within the App Store, which according to authorities do not allow developers to inform their users about purchasing options. alternative and cheaper off the block platform. This conflict escalated in June of this year, when the European Commission determined that Apple was violating the WFD by maintaining its anti-steering policies, which prohibited developers from directing their users to external sites to complete transactions without paying commissions to Apple, which which translated into higher costs for consumers and less freedom for developers.
To comply with European regulations, Apple introduced some changes in August. The new policies allow European developers to communicate and promote discounts that redirect users away from the App Store. However, despite these modifications, Apple requires developers to notify the company of external transactions and pay additional fees. This change, although it is progress, has been considered insufficient by the European Commission.
How much will the EU fine Apple?
The size of the penalty that the European Commission could impose has not yet been officially announced, but Bloomberg reports that it could be finalized before Competition Commissioner Margrethe Vestager leaves office this month. If it is postponed, the sanction could reach before the year ends.
It should be remembered that this is not the first time that Apple faces sanctions on the European continent. Earlier this year, the company was fined $2 billion in a case involving unfair competition against third-party music services. In this new confrontation, if the maximums allowed under the Digital Markets Act are applied, the sanction could reach up to 10% of annual global sales from Apple, a shocking figure that seeks to exert pressure and demonstrate the EU’s stance against business practices that, in its opinion, limit the development of an open digital market.
The conflict between Apple and the European Union reflects the growing tension between big technology companies and European regulators. The DMA seeks to promote the fair competition and limit abuses of power. Apple could be forced to modify its policies, in a context where equity is prioritized in the digital market.
