EU Plans to Fine Apple for Anticompetitive App Store Practices

[MacRumors]

The European Commission plans to fine Apple for not adequately complying with Digital Markets Act (DMA) requirements for the App Store, reports Bloomberg. Regulators apparently believe that Apple did not implement changes that allowed developers to steer users to cheaper prices outside of the App Store.

Back in June, the EU said that Apple was in breach of the DMA due to its anti-steering rules. The European Commission said that developers should be able to inform their customers of alternative purchasing options, steer them to offers, and allow them to make purchases outside of the App Store.

In August, Apple again changed its App Store rules in Europe to satisfy regulators. Apple began allowing EU developers to communicate and promote offers that would direct customers outside of the App Store, and it marked a significant loosening of Apple's prior rules. Developers are able to communicate discounts and deals without opting into Apple's new developer terms or paying the Core Technology Fee, but Apple is requiring developers to report external purchase transactions and pay an initial acquisition fee and a store services fee.

It is not clear when the European Commission will announce the fine, but it could happen before current competition commissioner Margrethe Vestager leaves the position later this month. It could also be pushed back to later in the year, though.

Exactly how much Apple will have to pay is unknown at this time, but earlier this year, the EU fined Apple $2 billion for anticompetitive behavior against third-party music services. Under the DMA, the European Union can fine Apple up to 10 percent of its global annual sales.

Note: Due to the political or social nature of the discussion regarding this topic, the discussion thread is located in our Political News forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Article Link: EU Plans to Fine Apple for Anticompetitive App Store Practices

 

[swiftapplefan]

Again? Why don't they move on to more important things, like the anticompetitiveness of the Apple Pencil?

 

[Timo_Existencia]

Netflix communicates with me all the time outside of the App Store App.

It's not an ability to communicate; Big Dev wants free access to freely market to Apple's customer base.

...and of course this will be announced before the media-loving Vestager leaves office.

 

[ThisIsMike]

This is beyond ridiculous at this point. I normally wouldn't be one to jump to "Apple should just stop doing business in the EU," but I almost want them to do it and call their bluff - see how folks like it when all their devices are no longer supported and you can't buy any new tech. Watch how quickly folks would turn against the morons litigating this. I know it's not realistic, but if I were Apple I'd find this infuriating.

 

[Macusercom]

Judging by the comments, it seems most here are shareholders for AAPL stocks?

 

[coffeemilktea]

Regulators apparently believe that Apple did not implement changes that allowed developers to steer users to cheaper prices outside of the App Store.

I think regulators would have always found Apple guilty of non-compliance no matter what the company actually did. After all, those EU coffers need filling... perhaps to the tune of 10% of Apple's global annual sales? 💰

It would be the ultimate accomplishment in Vestager's résumé, especially with her leaving her position soon.

 

[sputnikv]

if anti-competitiveness is a problem, they should fine european companies for failing to be competitive

 

[surfzen21]

Judging by the comments, it seems most here are shareholders for AAPL stocks?

I am and F the EU.

 

[platinumaqua]

Reasonable for anti-steering provisions. I thought the US court also found that illegal?

 

[WilliApple]

I dont want 50 million app stores that will just complicate things.
I want 1 unified App Store to get all of my apps.
I almost want Apple, Samsung and Google to unify and pull OUT of the EU and see what happens after that.

 

[Gnattu]

In the end of the day it would just be a math problem for Apple to calculate which hurts most to its revenue. Is it destroying its business model, or pay the fine, or quit entirely. And Apple will pick the one that cost the least to them.

 

[springsup]

It is not clear when the European Commission will announce the fine, but it could happen before current competition commissioner Margrethe Vestager leaves the position later this month. It could also be pushed back to later in the year, though.

I’d bet money on it. Voters booted her out but she wants one last swing.

 

[19callum93]

The next CEO of Apple looks like it will be the EU at this rate 😑

 

[Plutonius]

Judging by the comments, it seems most here are shareholders for AAPL stocks?

If you have any investments at all, you can assume that at least some of it contains Apple (i.e. you don't have to be a shareholder).

 

[contacos]

I dont want 50 million app stores that will just complicate things.
I want 1 unified App Store to get all of my apps.
I almost want Apple, Samsung and Google to unify and pull OUT of the EU and see what happens after that.

So far nothing really changed. There are like 2 additional „stores“ so far with like 3 apps on it. There isn’t a single browser that does not use webkit yet either. I guess in a way this is due to the implementation by Apple and exactly what may rub the EU the wrong way. We’ll see

 

[icanhazmac]

Judging by the comments, it seems most here are shareholders for AAPL stocks?

Really? Is that all you have?

Could be that some just like the ecosystem they willingly bought into and don't want it dismantled by brainless bureaucrats out for their own gains.

 

[icerabbit]

The whole EU anti-apple thing is getting to be exhausting ... and laughable.

Name one hardware manufacturer whether computers, vehicles, smart devices, smart tvs, smart appliances, etc that is FORCED to open up their operating system, to allow different app stores, alternative sale methods, ...

I don't see VW AUDI BMW Mercedes etc ... or Samsung, Sony, Philips, etc ... forced to allow me to use a different app store, different payment systems, ...

Every manufacturer does R&D, tries to get ahead, tries to keep things secure ... and not a single system or platform is OPEN ... but when it is Apple, arguably the more secure and privacy oriented among the leading three ... it is a problem. Sigh.

 

[ForkHandles]

Monopolies are potentially bad. That’s why virtually every country in the world has anti-competitive laws to regulate and restrict monopolies.

If you don’t understand why monopolies are potentially bad for consumers, your comments in this thread may come over as a little naive.

 

[icanhazmac]

don't see VW AUDI BMW Mercedes etc ...

I like my car manufacturer analogy:

https://forums.macrumors.com/threads/apple-gets-eu-warning-to-open-ios-to-third-party-connected-devices.2437014/page-17?post=33416366#post-33416366

Car manufacturers are disadvantaging 3rd party stereo manufacturers with integrated systems! Shouldn't we be able to put any radio into any car?

Meanwhile the EU is fiddling with Apple Pencils!

 

[rp2011]

It's their governance and regulation that is strangling competion in the EU not the other way around, and perhaps if the EU allowed its entrepenuers to prosper they would have their own vibrant tech economy instead of just rushing to punish American success.

 

[PsykX]

Is anyone really surprised ? The core fee thing was beyond ridiculous 🤣

 

[mejsric]

I dont want 50 million app stores that will just complicate things.
I want 1 unified App Store to get all of my apps.
I almost want Apple, Samsung and Google to unify and pull OUT of the EU and see what happens after that.

make it simple, like let phone makers decide what to do on their product and let buyers buy which phone they want. i blieve no one is force to buy iPhone if they dont like its way, right?

 

[emulator]

Getting hilarious, they found out fining Apple is like printing money. And they think it works.

 

[justperry]

Why do so many Americans don’t get this, if a company wants to do business in the EU they are bound by the laws in the EU.
You can complain about it and downvote all you want, it doesn’t matter, Apple thinks they’re above the law, expect to be fined if you’re in contempt of those laws, period.

 

[emulator]

Judging by the comments, it seems most here are shareholders for AAPL stocks?

Yes but also an  client who will never forget the craziness cookie consent and the arrogance of these EU bureaucrats who are so stupid to fix that **** for 5 years.