Apple violated EU competition, know what is the matter


Apple found in breach of EU:  Apple violates new EU laws designed to stifle competition from smaller companies and allow users to find cheaper and alternative apps to tech businesses' app stores. The European Commission, which also serves as the EU's antitrust and tech regulator, said it had sent its preliminary findings to Apple following an investigation launched in March.


"For too long Apple has been squeezing out innovative companies – depriving consumers of new opportunities and choices," Thierry Breton, the European commissioner responsible for digital markets, said at the event.

In preliminary findings, which Apple can appeal, the European Commission said it believes its rules of engagement do not comply with the Digital Markets Act (DMA) “as they prevent app developers from freely directing consumers to alternative channels for offers and content”.

The company has 12 months to comply before facing fines of up to 10% of its global revenue, but the EU hopes ongoing talks will encourage compliance rather than sanctions.

In addition, the Commission has initiated a new non-compliance procedure against Apple, as it is concerned that its new contract terms for third-party app developers also fall short of the DMA requirements.

This is the third non-compliance investigation launched by the Commission into Apple since the DMA came into effect last year and the sixth overall, with two other inquiries pending into Google and one into Facebook-owner Meta.

At the heart of Monday's findings are three elements of Apple's practices, including the fees it charges app developers for each purchase made within seven days of linking to a commercial app.

The Commission says that fees for such matchmaking are reasonable, but that the fees Apple charges go "beyond what is necessary".

In the preliminary findings of its previous investigation, the EU reiterated that the new digital laws require Apple to ensure that developers can "inform their customers about alternative cheaper purchasing possibilities, to induce them to those offers and to allow them to make a purchase".