Apple Faces Record 500 Million Euros Fine from EU for Antitrust Violations
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The European Union (EU) plans to impose a fine of 500 Million Euros on Apple for alleged antitrust violations. With the full implementation of the Digital Markets Act (DMA) next month, conflicts between big tech companies and the EU are coming to the fore.
On the 18th (local time), Bloomberg reported that the European Commission (EC) plans to announce a fine of around 500 million euros on Apple at the beginning of next month. This is the first time the EU has imposed a fine on Apple.
The antitrust investigation began in 2019 when the music streaming application Spotify raised an issue that Apple prevents fair competition with its service, Apple Music.
In response, the EC has investigated whether Apple has distorted competition in the music streaming market through its monopolistic App Store operating policy.
According to a source familiar with the matter, the EC has found that Apple did not adequately provide users with information about cheaper access methods using alternatives to the App Store.
The DMA passed in 2022, is a regulatory law that curbs the market dominance of big tech companies.
The Act’s main point is to regulate in advance by considering platforms as “gatekeepers” with over 45 million active monthly users and a market capitalization of 75 billion euros so they cannot monopolize the digital market, including online advertising, using their strong influence.
In particular, it prohibits big tech companies from giving unfair privileges to their services and infringing on competitors’ profits.
Last year, the EU confirmed that Google’s parent companies, Alphabet, Meta, Amazon, Microsoft, ByteDance, and Apple, were subject to the DMA regulation.
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