EU Regulators Accuse Apple of Violating Digital Competition Rules Regarding the App Store

EU Regulators Accuse Apple of Violating Digital Competition Rules Regarding the App Store By Sruthi Nair - June 24, 2024
Apple Store

Apple Store

European Union regulators have accused Apple of violating new digital competition rules by enforcing restrictions in its App Store that prohibit app developers from directing users to cheaper options available on other platforms. The European Commission announced on Monday that its preliminary investigation suggests Apple has breached the bloc’s Digital Markets Act, which came into effect in March. This legislation aims to prevent dominant tech companies from monopolizing digital markets.

According to the rules, app developers must have the freedom to inform consumers about lower-priced alternatives and guide them to these options. The commission, the executive body of the EU, stated that Apple's App Store policies "restrict app developers from steering consumers to alternative channels for offers and content."

Apple now has the opportunity to respond to these findings before the commission makes a final decision on its compliance by March 2025. Potential penalties for Apple include fines up to 10% of its global revenue, amounting to potentially billions of euros, or daily penalties if it fails to address the concerns raised.

By Sruthi Nair - June 24, 2024
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