EU could fine Apple soon over failure to comply with DMA
The European Union’s Digital Markets Act may lead to the first fine against Apple after repeated failed attempts to comply with the word and spirit of the law.
Apple has had a tough time trying to comply with the new laws meant to prevent monopolies from controlling a market. Specifically, Apple’s anti-steering practices keep coming under fire.
According to a report from Bloomberg, the EU may be gearing up to fine Apple for failure to comply with the DMA, though details are still unknown. The fine could be levied before Margrethe Vestager leaves office in November, or it could be pushed to a later date in 2024.
The anonymous sources state Apple could be hit with one big fine that is followed up with periodic penalty payments as long as Apple isn’t in compliance. Though, the report fails to state exactly how Apple isn’t complying with the law and what is drawing the potential fine in November.
Despite Apple’s claims that it has complied with the laws each time, it has continued to morph and change its own rules in an attempt to satisfy regulators. The most recent change came in November, removing basically all anti-steering practices and eliminating the Core Technology Fee for all but 1% of iOS apps.
It isn’t clear if Tuesday’s reports of a fine are about Apple having not implemented these changes yet, or if these proposed changes still aren’t enough. The fine could be as much as 10% of global annual sales or 5% of average daily revenue.
A previous report in June suggested Apple was about to be fined then, but it didn’t happen. These insider sources may hear rumblings of plans, but ultimately it’s up to the EU watchdogs to make a ruling.
Apple’s controversial response to the DMA has come under constant scrutiny from the start. Regulators argue that Apple may be complying with the letter of the law, but not the spirit, which drives developers away from taking advantage of the provided solutions.
The saga will inevitably continue for months or years to come as the EU continues to browbeat Apple for complying with the DMA the wrong way. There’s no telling what Apple can do to satisfy the antitrust watchdogs beyond not charging any money and allowing users to do whatever they please.
