Apple Becomes the First Tech Company Charged With Violating EU's Digital Markets Act Rules

Published:Mon, 24 Jun 2024 / Source:https://www.ign.com/articles/apple-becomes-the-first-tech-company-charged-with-violating-eus-digital-markets-act-rules

The European Commission announced today that Apple has become the first technology company charged with violating the European Union's Digital Markets Act (DMA).

In a press release, the European Commission announced that Apple's App Store "steering" policies have violated rules outlined in the DMA, writing that the iPhone maker prevents "app developers from freely steering consumers to alternative channels for offers and content." In addition to today's preliminary ruling, the Commission also announced it has opened a new investigation into Apple pertaining to its "core technology fee," claiming it is non-compliant under the DMA.

"We have reason to believe that the AppStore rules not allowing app developers to communicate freely with their users is in breach of the DMA," Commissioner for Internal Market Thierry Breton commented. "Without prejudice to Apple's right of defence, we are determined to use the clear and effective DMA toolbox to finally open real opportunities for innovators and for consumers."

Apple did not immediately respond to IGN's request for comment.

Formal charges against Apple for not complying with the EU were to be expected; last March, the EU announced it was probing Apple, in addition to Google's parent company Alphabet and Meta, for violating the new antitrust laws in the DMA. Last week, the Financial Times reported that EU regulators were gearing up to formally charge Apple for allegedly "stifling competition" on its App Store.

The DMA is a new regulation that went into effect last year and is designed to make the digital sector more competitive and fair. Specifically, the law is aimed at cracking down on over 20 tech companies, including Apple, Alphabet, Meta, and Microsoft, which the EU deemed as "gatekeepers" that were required to loosen up its policies to promote more fair competition. The EU requires these gatekeepers to have fully complied with the DMA rules by March this year.

Among one of the effects of the DMA includes giving developers the option to launch their own third-party app stores within the App Store or Google Play. Most notably, Fortnite developer Epic Games and Microsoft announced plans to launch their own third-party app stores within Apple and Google's digital storefornts.

Taylor is a Reporter at IGN. You can follow her on Twitter @TayNixster.

Source:https://www.ign.com/articles/apple-becomes-the-first-tech-company-charged-with-violating-eus-digital-markets-act-rules

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