Sidebar Sidebar
Become a MacRumors Supporter for $50/year with no ads, ability to filter front page stories, and private forums.

Apple Fined €5 Million for Ninth Time in the Netherlands Over Third-Party In-App Payment Systems

MacRumors

MacRumors

macrumors bot
Original poster
Apr 12, 2001
68,209
38,991


Apple has been hit with its ninth €5 million ($5.5 million) fine in the Netherlands for ostensibly continuing to insufficiently meet new requirements regarding alternative payment systems for dating apps, Reuters reports.

iOS-App-Store-General-Feature-Clorange.jpg

The Dutch Authority for Consumers and Markets (ACM) said that Apple had sent it "new proposals" on Monday in an attempt to resolve the company's dispute over allowing dating app developers to use third-party payment methods in the Netherlands. The ACM did not disclose any details about Apple's newly proposed remedy, which it said it would now assess, and the organization continued to impose its ninth weekly penalty of €5 million on the company.

Apple has now been fined a total of €45 million ($49.5 million). The regulator will only be able to fine Apple one more time, since it will then reach its maximum total penalty of €50 million.

Apple said in mid-January that it would comply with the ACM's ruling on allowing alternative payment systems for dating apps, but the company's terms included only reducing its commission on such purchases from the standard 30% to 27%, requiring developers to maintain separate app binaries, and requiring developers to submit monthly records of sales through alternative means to Apple in order to track commissions.

The ACM said that Apple had "raised several barriers" for dating apps looking to offer alternative payment systems in the Netherlands and was forcing dating apps to choose between the App Store's standard in-app purchase system or alternative payment systems. The regulator said that dating apps must be able to offer both options in the Netherlands.

Apple has repeatedly appealed the ACM's order, arguing that alternative payment systems in the App Store pose privacy and security risks for customers. Apple has previously said it will be unable to assist customers with refund requests, subscription management, and other issues encountered when purchasing digital goods and services through alternative systems.

Article Link: Apple Fined €5 Million for Ninth Time in the Netherlands Over Third-Party In-App Payment Systems
 
Article Link
https://www.macrumors.com/2022/03/22/apple-fined-for-ninth-time-in-netherlands/
  • Sad
Reactions: SurferPup
Yes, I think Apple is standing on principle (whether you agree with it or not). Will be interesting to see as move governments try to implement rules around this.
 
  • Like
Reactions: DarkSam and Thomasasz
They’re casually eating these 5 million euro fines when I got a talking to when I accidentally dropped and broke one of the iPads when I worked retail there. Sheesh. o_O
 
  • Like
  • Disagree
Reactions: JCCL and usagora
Apple says it's already complying: dating app developers now can submit an alternate, Netherlands-only version of their app, that features the non-Apple payment option. The regulator's saying no, they should be allowed to submit just a single version of their app that includes this feature. But that would make this law take effect throughout the world, not just in the Netherlands. Of course, that's what the regulator wants! Hence the fines, because Apple is never going to do that.
 
  • Like
Reactions: chemenski, ackmondual, RonMan and 8 others
Apple has now been fined a total of €45 million ($49.5 million). The regulator will only be able to fine Apple one more time, since it will then reach its maximum total penalty of €50 million.

In other words it cost less for Apple to incur the capped fines than the money they'd lose in commissions if the reduce their App Store cut. Reminds me of when Dr Evil asked for one million dollars in ransom.
 
  • Like
Reactions: buddhistMonkey
The "corporate shield" protecting decision makers is no longer working. FBook & Google knowingly conspire to break laws and protect their ad markets. A fine is the worst they expect- probably much less than the profit they made. The white-collar criminals who knew what they were doing (as per emails released) have no concerns. While Apple is not is the same league with this, it is clear that the fines are pretty meaningless re: changing the behavior of the decision makers. At some point we need to have punishments that are personal to those in charge. Fines no longer work, and the corporate shield is supporting oftentimes knowingly lawless behavior.
 
  • Like
  • Disagree
Reactions: visualseed and alfonsog
fwmireault said:
At this point it's pretty clear Apple will not comply, ACM could directly charge the maximum penalty
Click to expand...
Agreed. Still this is needless cost by Apple. I’d have rather Apple pull out of Netherlands and offer customers to use another country and ship sales of devices directly to customers.


Regarding the ACM “… forcing dating apps to choose between the App Store's standard in-app purchase system or alternative payment systems.”

Lol wasn’t this EXACTLY what the ACM wanted having developers choose between the payment systems along with developers? Like ‘are you not entertained?!’

Sounds like ACM wants total control and leave much to interpretation or they just want Apple out.
 
DarelRex said:
Apple says it's already complying: dating app developers now can submit an alternate, Netherlands-only version of their app, that features the non-Apple payment option. The regulator's saying no, they should be allowed to submit just a single version of their app that includes this feature. But that would make this law take effect throughout the world, not just in the Netherlands. Of course, that's what the regulator wants! Hence the fines, because Apple is never going to do that.
Click to expand...
That’s not how this works. It can be locally activated code based on geolocation or based on nationality of your credit card
 
DeepIn2U said:
Agreed. Still this is needless cost by Apple. I’d have rather Apple pull out of Netherlands and offer customers to use another country and ship sales of devices directly to customers.


Regarding the ACM “… forcing dating apps to choose between the App Store's standard in-app purchase system or alternative payment systems.”

Lol wasn’t this EXACTLY what the ACM wanted having developers choose between the payment systems along with developers? Like ‘are you not entertained?!’

Sounds like ACM wants total control and leave much to interpretation or they just want Apple out.
Click to expand...
No, they explicitly said developers should be allowed to use alternative payment options, not that only one option should be available. This makes no sense to only allow custom payment option OR apple’s payment option, but not both at the same time
 
  • Like
Reactions: dk001
DarelRex said:
Apple says it's already complying: dating app developers now can submit an alternate, Netherlands-only version of their app, that features the non-Apple payment option. The regulator's saying no, they should be allowed to submit just a single version of their app that includes this feature. But that would make this law take effect throughout the world, not just in the Netherlands. Of course, that's what the regulator wants! Hence the fines, because Apple is never going to do that.
Click to expand...
It doesn't necessarily means the payment method would be available worldwide. The devs could add a region check via GPS, IP, phone linked to the account, etc... to make this payment mode show up or not.
 
  • Like
Reactions: DeepIn2U
Sophisticatednut said:
No, they explicitly said developers should be allowed to use alternative payment options, not that only one option should be available. This makes no sense to only allow custom payment option OR apple’s payment option, but not both at the same time
Click to expand...
Did you read the quoted article, in my post?

The choice is available. ACM is pointing blame at Apple saying they’re forcing customers to choose. What’s backwards is customers still don’t get to choose do they? It’s set by the developers based on the law set in Netherlands.

That makes sense. I’m saying ACM got what they wanted yet pointing fingers cause it’s not exactly what they expected.
 
  • Like
Reactions: djphat2000, visualseed and Contact_Feanor
Seeing Apple's response here gives me a pretty good idea as to how they will likely respond to the side loading lawsuit with the EU.

Attempt to drag out the case in court for as long as possible, while buying time to work out a solution which does the bare minimum to allow side loading, while also making it as inconvenient for all parties involved, to the point where it becomes unfeasible for all but the most hardcore of users.

For example, I imagine Apple might decide that sideloading apps may void your AppleCare warranty one day, or maybe not be eligible for certain key iOS features like iCloud.

I guess the question is not so much about whether Apple will allow sideloading, but in what shape and form? :oops:
 
You must log in or register to reply here.
Register on MacRumors! This sidebar will go away, and you'll see fewer ads.
Top Bottom
Back