Apple Faces Daily Fines in Brazil Over App Store Payment Restrictions

[MacRumors]

Brazil's antitrust regulator has ordered Apple to remove App Store restrictions on third-party payment systems and allow developers to market alternative payment options for in-app purchases. Apple has 20 days to comply or face daily fines of $43,000.

The ruling by the Council for Economic Defense (Cade) comes in response to a 2022 complaint filed by MercadoLibre, Latin America's largest e-commerce platform. The company accused Apple of abusing its monopolistic position by requiring developers to use Apple's own payment system and preventing them from redirecting users to external payment options.

Under the new requirements, Apple must permit app developers to implement tools allowing customers to make purchases outside the Apple ecosystem. This includes enabling the use of hyperlinks to external websites and allowing developers to market third-party products and services within their apps.

The Brazilian case mirrors similar antitrust concerns raised in the EU. In March 2024, the European Commission fined Apple €1.8 billion ($1.95 billion) for restricting music streaming apps from informing users about cheaper subscription options outside the App Store. That ruling followed a complaint by Spotify in 2020.

MercadoLibre's original complaint, filed in both Brazil and Mexico, argued that Apple's restrictions particularly harm smaller competitors while benefiting large integrated digital companies. The e-commerce giant's SVP general counsel, Jacobo Cohen Imach, criticized Apple's practices as creating an "artificial tilt towards integrated ecosystems."

(Via Reuters.)

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Article Link: Apple Faces Daily Fines in Brazil Over App Store Payment Restrictions

 

[gigapocket1]

I’m sure Apple makes more than 43k per day off the App Store over there. I would just pay the fines

 

[DailySlow]

Hmmmm. They, the non complying App Store vendors, could of course sell through the web browser of choice.

 

[wdfly]

Things like this need to happen. It would force Apple to give people a choice which means they (Apple) would need to lower their prices or increase their services for the fee, in either way the consumers win.

 

[UliBaer]

Apple should pull out of Brazil!

/s

 

[jlc1978]

Things like this need to happen. It would force Apple to give people a choice which means they (Apple) would need to lower their prices or increase their services for the fee, in either way the consumers win.

Or establish hosting and other fees to make up for lost revenue.

 

[wdfly]

Or establish hosting and other fees to make up for lost revenue.

Which would probably be challenged in court if they continued with their non-competitive MO.

 

[neuropsychguy]

“Jacobo Cohen Imach, criticized Apple's practices as creating an ‘artificial tilt towards integrated ecosystems.’”

Isn’t that the point of Apple’s approach?

 

[wanha]

maybe Apple should think of the fines as a subscription to sell services in Brazil

 

[rgwebb]

maybe Apple should think of the fines as a subscription to sell services in Brazil

At 43k per day, I think they likely are. If the punishment for a crime is just a fine then it is only illegal for the poor.

And Apple ain't poor.

 

[JapanApple]

Here we go again.

 

[jlc1978]

Which would probably be challenged in court if they continued with their non-competitive MO.

Which would be interesting; Apple has just as much right to charge for their services and not have companies free load while charging for their apps or services.

Ultimately, Apple should allow 3rd party stores, I suspect most would not be able to survive long term and be cheaper or have as lucrative a customer base. Allowing that removes much of the anticompetitive complaints as developers would now have a choice.

If Apple were forced to allow free access I suspect they would rethink their model and either charge upfront fees or exit a market (doubtful); either of which would hurt small developers more than large ones.

 

[sirdir]

Apple should just allow sideloading for people that want that and most of their problems would go away.

 

[MadDawg2020]

Apple should just allow sideloading for people that want that and most of their problems would go away.

Allowing 'sideloading' would open the floodgates for Spyware, Malware and a flood of shovel ware to infiltrate iOS.
Feel free to get an Android if you want to deal with viruses and people stealing all your data. NO ONE is forcing you to use any Apple devices.

 

[raythompsontn]

More extortion by a third world country seeking to get money from companies so the corrupt government can spend some of that money on themselves.

Apple should tell Brazil to stuff it and halt sales of all Apple products in Brazil. If the Brazilians don't like it, they can complain to their corrupt government.

 

[raythompsontn]

t would force Apple to give people a choice

People have a choice. Ever heard of Samsung, Sony, Ericson among a few others. If people don't like Apple, then go somewhere else. Problem solved. Apple should tell Brazil to stuff it and not pay the fine. What's the worst that will happen? Apple can't sell phones in Brazil. Big deal.

This is nothing more than a corrupt, incompetent, 3rd world government trying to get money they don't deserve.

 

[WarmWinterHat]

Allowing 'sideloading' would open the floodgates for Spyware, Malware and a flood of shovel ware to infiltrate iOS.
Feel free to get an Android if you want to deal with viruses and people stealing all your data. NO ONE is forcing you to use any Apple devices.

..and no one would be forcing you to sideload anything. My wife has been using Android for 15 years and has never sideloaded and app, and doesn't have any desire to. You're comments are nothing more than fear-mongering.

She has had zero spyware or malware.

People have a choice. Ever heard of Samsung, Sony, Ericson among a few others. If people don't like Apple, then go somewhere else. Problem solved. Apple should tell Brazil to stuff it and not pay the fine. What's the worst that will happen? Apple can't sell phones in Brazil. Big deal.

This is nothing more than a corrupt, incompetent, 3rd world government trying to get money they don't deserve.

Choice can and should be independent of the hardware.

Japan has passed laws that now require 3rd party app stores, along with the EU. India is looking into it, as is Brazil, and there is talk of Canada doing the same. How many countries should Apple pull out of?

 

[FastLaneJB]

Apple should pull out of Brazil!

/s

“Introducing the iPhone 17, we think you would have loved it but we aren’t selling it anywhere so you cannot buy it”. 😉

 

[L92]

Apple should quit Brazil, EU, UK and the US! That would show them!!! 🤬🤬🤬

 

[MilaM]

Apple should quit Brazil, EU, UK and the US! That would show them!!! 🤬🤬🤬

Don't forget Japan and South Korea!!

 

[I7guy]

So one monopolist accuses another monopolist of abusing their position. Interesting.

I don’t think apple should pull out of Brazil but pull the App Store. Let em use websites, like in the good old days.

Clearly the consumer won’t reap anything. The large dev will the little dev won’t. And apple will still get payed.

 

[Apple Mac Daz]

Waiting for Apple should pull out of the EU

 

[cocky jeremy]

More government ********. "Apple should let people use their services for free".

 

[maxoakland]

“Jacobo Cohen Imach, criticized Apple's practices as creating an ‘artificial tilt towards integrated ecosystems.’”

Isn’t that the point of Apple’s approach?

So you think they’re guilty?

 

[ProbablyDylan]

So strange to me that multiple countries around the world are taking issue with Apple's business practices. I'm starting to think that they've been actually implementing unfair policies and requirements.