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European Commission Launches Investigation into Apple's App Store, Alleges Anti-Competitive Practices
European Commission investigates Apple's App Store for alleged anti-competitive practices under new Digital Markets Act rules. Potential fines could reach billions of euros.
ND
by News Desk
2024-06-24
European Commission Launches Investigation into Apple's App Store, Alleges Anti-Competitive Practices

The European Commission has initiated a formal investigation into Apple's App Store over allegations of anti-competitive behavior, potentially exposing the tech giant to fines amounting to billions of euros under the Digital Markets Act (DMA).

 

The investigation centers around practices that the Commission believes may violate the DMA, designed to prevent digital "gatekeepers" from abusing their dominant market positions. Specifically, the Commission is scrutinizing Apple's policies regarding fees charged to alternative app stores and developers for app installations on iPhones.

 

In a statement released on Monday, the Commission outlined concerns that Apple's rules hinder competition by restricting app developers from directing consumers to alternative platforms for content and offers. The investigation will also assess the barriers Apple imposes on developers seeking to distribute apps outside of its App Store ecosystem.

 

Apple has responded, noting recent changes made to comply with the DMA following feedback from developers and discussions with the European Commission. The company expressed confidence that its current practices align with legal requirements.

 

The Commission's decision is preliminary, and Apple will have an opportunity to respond before a final ruling is made, expected by March 2025. If found in breach of the DMA, Apple could face fines of up to 10% of its global revenue.

 

This marks the first formal accusation under the DMA against a major tech firm since the European Commission initiated investigations into Apple, Google, and Meta earlier this year.
Tagged:

Apple

Antitrust

AppStore

DigitalMarketsAct

EuropeanCommission
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