According to relevant media reports, the European Commission recently issued a statement stating that after investigation, it has been preliminarily determined that Apple's App Store in the United States is suspected of violating the European Union's Digital Markets Act.
The European Commission stated that Apple's App Store rules prevent app developers from freely guiding consumers to obtain more favorable products and content through other channels.
The European Commission also stated that an investigation will be conducted into the "core technology fee" charged by the Apple App Store and the complexity of the steps for iPhone users to download applications from third-party channels.
Margaret Vestager, the EU antitrust commissioner, listed some issues with the Apple App Store. She said, "Based on the current situation, we believe that some new terms of the App Store do not allow application developers to freely communicate with their end users, nor do they allow them to sign contracts."
In addition, Westergh also criticized Apple for charging fees through the App Store to facilitate developers in obtaining new customers initially, stating that these fees exceed the necessary level of such compensation. Westergh stated that the EU will also investigate Apple's new contract requirements for third-party app developers and app stores, as well as whether these requirements are necessary and reasonable.
According to the EU, it has reported preliminary opinions to Apple. According to regulations, Apple now needs to review the committee's investigation results and provide a formal response. According to the schedule, the European Commission may make a final decision by the end of March 2025.
If Apple is ultimately found to have violated regulations, it will face a maximum fine of 10% of global annual revenue; In the case of recidivism, the maximum proportion of this fine can reach 20%. According to public information, Apple's total revenue for the fiscal year 2023 reached $383.3 billion. Based on a 10% penalty, the company will receive nearly $40 billion (approximately RMB 290 billion) in fines.
However, if Apple can make changes that meet the requirements of EU rules, it may also be exempt from fines.
According to relevant media reports, this is the "first shot" taken by EU antitrust agencies against technology giants after the Digital Markets Act came into effect in March this year.
In March of this year, the European Union launched an investigation into Apple and Google's parent companies Alphabet and Meta under the new regulation of the Digital Markets Act. That month, the European Union also imposed an antitrust fine of 1.8 billion euros (approximately 14 billion yuan) on Apple for abusing its dominant position in the music streaming application distribution market.
In fact, in recent years, the Apple App Store has been heavily criticized for its tough channel commission, which is referred to as the "Apple tax" in the industry. And a series of related actions have also led to continuous litigation by Apple both within and outside the United States.
On March 21st of this year, the US Department of Justice officially sued Apple on suspicion of monopolizing the smartphone market. US Attorney General Merrick Garland said that if not challenged, Apple's monopoly position in the smartphone market will further strengthen, and consumers should not pay higher prices because the company violates antitrust laws.
In an 88 page lawsuit, the US Department of Justice listed some cases of Apple's alleged abuse of its market dominance, including restrictions on cross platform application development, suppression of streaming services, lack of support for encryption of cross platform messaging applications, weakening of non Apple smartwatch functionality, and restrictions on third-party digital wallets.
This is also the third time in the past 14 years that the US Department of Justice has sued Apple under antitrust laws. Previously, Apple was sued by the Ministry of Justice for allegedly manipulating e-book prices and collaborating with other technology companies to lower employee salaries.