- Apple’s attempts to comply with the Digital Markets Act (DMA) in Europe have been questioned by the EU, who are now looking to enforce the law more rigorously
- “Today is a very important day for the effective enforcement of the DMA. Apple’s new slogan should be ‘act different’ “
Last week, rumors indicated an impending showdown between the EU and Apple over the DMA, and now it’s official. The European Commission has officially informed Apple that its App Store regulations violate the DMA by limiting app developers from directing users to alternative platforms for purchases and content.
While Apple claimed to adhere to the DMA by opening up its platform, it introduced new rules and fees that complicated the process, effectively undermining the spirit of the law. Instead of embracing the intended freedom for developers, Apple maintained its high fees, created confusion, and only provided alternative options to fulfill DMA requirements.
Today, it has become clear that Apple’s strategy has backfired, as the EU takes steps to address Apple’s non-compliance.
It’s basically the nightmare scenario that Apple had hoped to dodge and the moment that every DMA watcher had anticipated.
What happens now?
The European Commission has initiated a non-compliance procedure against Apple, highlighting the inadequacy of Apple’s new contracts for developers and introduction of the Core Technology Fee under the DMA. These measures do not meet the requirements for effective compliance with the law, according to the latest findings.
Three steps to freedom
The Commission identified three critical issues with Apple’s business terms: developers are restricted in steering customers, links to alternative platforms are subject to Apple’s restrictions, and the fees charged by Apple are deemed excessive. The EU aims to ensure that Apple adheres to the law as intended.
Apple’s game is up
The EU is dismantling Apple’s complex system of rules and fees established post-DMA, with the goal of aligning Apple’s practices with the original intentions of the law. Margrethe Vestager emphasizes the importance of enforcing the DMA to provide opportunities for innovators and consumers.
“We are determined to use the clear and effective DMA toolbox to finally open real opportunities for innovators and for consumers..”
Thierry Breton, the EU’s commissioner for internal markets
Thierry Breton suggests that Apple should ‘act different’ and comply with the DMA rules. The EU will investigate further to ensure that Apple does not hinder developers and consumers from exploring alternatives to the App Store. As the situation unfolds, Apple’s response is eagerly awaited.