Apple Has 'Very Serious' DMA Issues, EU to Enforce Rules 'Soon'

[Infinity Vortex]

Well well well. Seems like I was quite on the money on dome of the opinions EU had.

Commission sends preliminary findings to Apple and opens additional non-compliance investigation against Apple under the Digital Markets Act

Today, the European Commission has informed Apple of its preliminary view that its App Store rules are in breach of the Digital Markets Act (DMA), as they prevent app developers from freely steering consumers to alternative channels for offers and content.

ec.europa.eu

Seems like they’re just now starting to look into whether the CTM complies.

 

[Sophisticatednut]

I am aware of that which is why I said there are some very successful people in the tech world from Europe and used the words ‘domestic’ and ‘consumer’ tech. American based doesn’t always mean American designed etc.

Indeed, and I think it would be a mistake if Europe tried to do everything USA does and vice versa. Sometimes specialized knowledge is valued as well.

We can compliment each other and cover up our weaknesses to make us both stronger.

 

[avkills]

"Today, the Commission has also opened a third non-compliance investigation into Apple's new contractual terms for developers as a condition to access some of the new features enabled by the DMA"

Tim - it's time to change the plans

Frankly I'm loving the example the EU is setting for other jurisdictions

Don't be afraid of setting rules for behemoth companies. They need a country's users more than any country or jurisdiction needs Apple.

It's time to push back on overreach from MegaCorps

At the core level you are correct.

But does Apple's current business model actually affect you in any way?

 

[turbineseaplane]

But does Apple's current business model actually affect you in any way?

It impacts everyone using their products by how it shapes what is possible and offered (or not)

That's the really pernicious part of issues like this.

The "possible" never sees the light of day due to over control

 

[I7guy]

At the core level you are correct.

But does Apple's current business model actually affect you in any way?

Yes. It provides a safe environment. Want to find something; there is only one place to go.

And if one doesn’t like a mega corp don’t use their services and do r buy their products.

 

[mode11]

It's time to push back on overreach from MegaCorps

In some ways, regulations help companies be the best version of themselves.

Absent external restrictions, the only obligation corporations have is to maximise profits for their shareholders. This won't always be the short-term priority (e.g. they may want to build market share instead), but the C-suite doesn't have free reign to just 'do the right thing'. If they leave too much money on the table, they'd likely be slung out by the board and told to be generous on their own dime.

Before environmental protection laws, it was hard for companies to justify not polluting; it's almost certainly cheaper to just dump waste in a river than dispose of it properly. But once it became illegal for them - and their competitors - to do so, investors obviously couldn't expect them to save costs in that way.

Similarly, if Apple is making a tidy profit from exploitative App Store terms, investors won't thank Cook for relaxing them (unless not doing so starts hurting Apple's brand, and ultimately sales). Apple is under pressure to maintain growth, which is difficult when you're already the world's richest company and lifespans of core products are lengthening. Opening up new markets is really hard (see: AVP), so the last thing you want to do is make your life even harder by giving up easy cash.

 

[turbineseaplane]

In some ways, regulations help companies be the best version of themselves.

Absolutely!

Apple needs to be forced to compete
That will benefit developers, end users and Apple ultimately

Monopolistic practices and tendencies lead to lazy business behavior

When the status quo is defended as “Apple is doing great!“ it overlooks the fact that it could be doing even better

 

[SnowCrocodile]

I don’t think it’s an industry Europeans wish to compete in to be honest, I don’t think it’s due to lack of money or ability. America and Asia are the leaders in this field and different parts of the World generally have their focuses, although some tech originates from Europe, just not in the domestic sense. Some of the best cars in the world are made in Europe for instance and automotive production is a strength (Asia too). The UK make some of the best engines in the World, especially in motorsport (Mercedes AMG high performance powertrains for example), and these are designed and built in the Northamptonshire countryside in Brixworth. The UK makes some of the best communications tech for the military sector and armoured vehicles, America are some of our biggest customers. Much of this isn’t widely known though.

It just comes down to supply chains and general skill sets in regions and consumer tech just isn’t a focus or a market worth competing in when you’ve got areas already rich with resources IMO.

I was taking about tech in general - software and services. Not just phones. While there are some that originated in the EU, for a behemoth that it is, it has a surprisingly small footprint.

 

[I7guy]

In some ways, regulations help companies be the best version of themselves.

In other ways it gives competitors access to someone else’s intellectual property for $0 r and d.

Absent external restrictions, the only obligation corporations have is to maximise profits for their shareholders. This won't always be the short-term priority (e.g. they may want to build market share instead), but the C-suite doesn't have free reign to just 'do the right thing'. If they leave too much money on the table, they'd likely be slung out by the board and told to be generous on their own dime.

There is no absent external restrictions. There are plenty of regulations.

Before environmental protection laws, it was hard for companies to justify not polluting; it's almost certainly cheaper to just dump waste in a river than dispose of it properly. But once it became illegal for them - and their competitors - to do so, investors obviously couldn't expect them to save costs in that way.

Similarly, if Apple is making a tidy profit from exploitative App Store terms, investors won't thank Cook for relaxing them (unless not doing so starts hurting Apple's brand, and ultimately sales). Apple is under pressure to maintain growth, which is difficult when you're already the world's richest company and lifespans of core products are lengthening. Opening up new markets is really hard (see: AVP), so the last thing you want to do is make your life even harder by giving up easy cash.

The last thing you want to do in the face of badly written regulations is to just give away the store.

 

[Infinity Vortex]

In other ways it gives competitors access to someone else’s intellectual property for $0 r and d.

There is no absent external restrictions. There are plenty of regulations.

The last thing you want to do in the face of badly written regulations is to just give away the store.

How much did Apple invest in laying ISPs cable and fiber they and their customer’s use?

 

[I7guy]

How much did Apple invest in laying ISPs cable and fiber they and their customer’s use?

That’s the way the internet works and not an apple thing. Sheesh.

 

[Infinity Vortex]

Computing OS’s for most of their existence operated openly as well. “Apple’s thing” is a relatively recent aberration.

 

[avkills]

Yes. It provides a safe environment. Want to find something; there is only one place to go.

And if one doesn’t like a mega corp don’t use their services and do r buy their products.

That was kind of my point. If you want open and do whatever you want then go get your Android.

 

[The-Real-Deal82]

I was taking about tech in general - software and services. Not just phones. While there are some that originated in the EU, for a behemoth that it is, it has a surprisingly small footprint.

The software industry in the EU is worth €108 billion ($197b) so it’s not too tiny considering it’s one of its smallest sectors.

 

[MacFarmer]

EU is gearing up to collect its budget before year end 😀
I'm from EU and I'm appalled with EU actions here.

 

[The-Real-Deal82]

EU is gearing up to collect its budget before year end 😀
I'm from EU and I'm appalled with EU actions here.

What is it about 'Apple preventing developers steering us as users/consumers outside of the App Store to avoid fee's' that you find appalling?

 

[arian71]

yes

 

[SnowCrocodile]

The software industry in the EU is worth €108 billion ($197b) so it’s not too tiny considering it’s one of its smallest sectors.

The tiny Israel’s information and communication technology sector is worth $51 billion.

The software industry in the EU is worth €108 billion ($197b) so it’s not too tiny considering it’s one of its smallest sectors.

So why is it one of its smallest sectors ? The EU population is about 1.3 times the size of the US, yet its software sector is almost 1/3rd the size. And most of that is routine services.

Where are the EU’s Microsoft, Apple, Amazon, Facebook? I’d expect that a very wealthy and highly educated part of the world with the total population over 400 million people would at least be equal to the US with its 300+ million people.

What makes it so hard for the tech companies to achieve major success in the EU ?

 

[The-Real-Deal82]

The tiny Israel’s information and communication technology sector is worth $51 billion.

So why is it one of its smallest sectors ? The EU population is about 1.3 times the size of the US, yet its software sector is almost 1/3rd the size. And most of that is routine services.

Where are the EU’s Microsoft, Apple, Amazon, Facebook? I’d expect that a very wealthy and highly educated part of the world with the total population over 400 million people would at least be equal to the US with its 300+ million people.

What makes it so hard for the tech companies to achieve major success in the EU ?

I think I gave my opinion on the reason for this in the initial response to you. I don't want to say it all again as it is a waste of both of our time, see below for reference.

I don’t think it’s an industry Europeans wish to compete in to be honest, I don’t think it’s due to lack of money or ability. America and Asia are the leaders in this field and different parts of the World generally have their focuses, although some tech originates from Europe, just not in the domestic sense. Some of the best cars in the world are made in Europe for instance and automotive production is a strength (Asia too). The UK make some of the best engines in the World, especially in motorsport (Mercedes AMG high performance powertrains for example), and these are designed and built in the Northamptonshire countryside in Brixworth. The UK makes some of the best communications tech for the military sector and armoured vehicles, America are some of our biggest customers. Much of this isn’t widely known though.

It just comes down to supply chains and general skill sets in regions and consumer tech just isn’t a focus or a market worth competing in when you’ve got areas already rich with resources IMO.

 

[Asbow]

Enough with the EU doing endless attacks on North American countries. It's time to ban all wine from France and Italy. Lol. Ok, seriously. It would really hurt both sides since American wine is borderline at best.

Your government is just as bad.

 

[Zest28]

EU is gearing up to collect its budget before year end 😀
I'm from EU and I'm appalled with EU actions here.

Yep, the EU is now looking to fine Microsoft 10% of their worldwide revenue too. The EU is nuts.

 

[Asbow]

And not pay Apple for any of the services Apple provides that allow them to have customers to sell to.

1. The iPhone was absolute tripe when it was released, I should know, I had the original. I currently have 14 Pro. Without developers, Apple would be where it is today. The reason Apple is so successful is because of developers creating apps for it, oh, and ultimately in-app purchasing.

2. Games like Star Trek Fleet Command from Scopely offer a choice of in-app or web based purchasing through their website. Epic could have done the same. Affinity offer Affinity Photo, Designer and Publisher on iPad either through the App Store or from a web based purchase and login. I can purchase brushes from either the Affinity website or directly from the brush creator and use them either in the Mac or iOS version.

 

[Asbow]

In some ways, regulations help companies be the best version of themselves.

Absent external restrictions, the only obligation corporations have is to maximise profits for their shareholders. This won't always be the short-term priority (e.g. they may want to build market share instead), but the C-suite doesn't have free reign to just 'do the right thing'. If they leave too much money on the table, they'd likely be slung out by the board and told to be generous on their own dime.

Before environmental protection laws, it was hard for companies to justify not polluting; it's almost certainly cheaper to just dump waste in a river than dispose of it properly. But once it became illegal for them - and their competitors - to do so, investors obviously couldn't expect them to save costs in that way.

Similarly, if Apple is making a tidy profit from exploitative App Store terms, investors won't thank Cook for relaxing them (unless not doing so starts hurting Apple's brand, and ultimately sales). Apple is under pressure to maintain growth, which is difficult when you're already the world's richest company and lifespans of core products are lengthening. Opening up new markets is really hard (see: AVP), so the last thing you want to do is make your life even harder by giving up easy cash.

Operate and maximise shareholder value rather than benefit costumers and employees stems from the Dodge Brothers v Henry Ford, Michigan 1919. Maybe if they operated to benefit customers they might actually do better.

 

[Asbow]

I don’t think it’s an industry Europeans wish to compete in to be honest, I don’t think it’s due to lack of money or ability. America and Asia are the leaders in this field and different parts of the World generally have their focuses, although some tech originates from Europe, just not in the domestic sense. Some of the best cars in the world are made in Europe for instance and automotive production is a strength (Asia too). The UK make some of the best engines in the World, especially in motorsport (Mercedes AMG high performance powertrains for example), and these are designed and built in the Northamptonshire countryside in Brixworth. The UK makes some of the best communications tech for the military sector and armoured vehicles, America are some of our biggest customers. Much of this isn’t widely known though.

It just comes down to supply chains and general skill sets in regions and consumer tech just isn’t a focus or a market worth competing in when you’ve got areas already rich with resources IMO.

We also designed and developed the arm isa.

 

[MacFarmer]

What is it about 'Apple preventing developers steering us as users/consumers outside of the App Store to avoid fee's' that you find appalling?

The "avoid fees" part. Steer users where you want, but I find it ridiculous, that devs ( I guess mainly epic, spotify, facebook and EU, not the majority of indy devs) want to use huge users base, Apple technologies, API's, know-how, and more without paying any fee. This is absurd.