Apple may face billions of euros in fines after the European Union’s antitrust and technology regulator announced on Monday that the company’s App Store policies violated the bloc’s Digital Markets Act (DMA).
The European Commission’s preliminary findings indicate that Apple’s App Store rules prevent app developers from directing consumers to alternative channels for offers and content, which breaches the DMA. This marks the first charge against Apple under the landmark legislation aimed at curbing the power of major tech companies and fostering fair competition for smaller rivals. A final decision is expected by March next year.
“As they stand, we think that these new terms do not allow app developers to communicate freely with their end users and to conclude contracts with them,” EU antitrust chief Margrethe Vestager stated at a recent conference.
The Commission highlighted that while Apple permits “link-outs,” allowing developers to include links in their apps that redirect customers to external websites to finalize contracts, the company’s fees for acquiring new customers through the App Store exceed what is necessary for remuneration.
Apple has responded by noting that it has made several changes in recent months to comply with the DMA, following feedback from developers and the Commission.
The outcome of this case could have significant implications for app developers and consumers worldwide, including those in Asia, where the App Store is a major platform for distributing apps and content. The enforcement of the DMA may lead to increased competition and more options for consumers in the digital marketplace.
Reference(s):
cgtn.com
