The European Commission is reportedly preparing to impose a fine of around €500 million ($539 million) on Apple for alleged violations of EU competition law. The investigation was initiated after Spotify lodged a formal complaint in 2019, accusing Apple of hindering third-party music services on its devices and favoring its own Apple Music service. The probe focused on whether Apple restricted apps from informing users about cheaper subscription alternatives outside of its native App Store, potentially violating EU competition laws.
If the fine is imposed, it would be one of the largest financial penalties the EU has ever imposed on a major technology company. This comes as part of a broader crackdown on anti-competitive practices by big tech players in the EU, with the Digital Markets Act set to be enacted in March. The new law aims to address concerns raised by smaller internet firms and tech businesses, including Spotify, about being unfairly limited by the business practices of companies like Apple, Amazon, and Google.
Apple has faced fines for antitrust behavior in the past, but this would be its first from Brussels. While the company has made efforts to comply with EU regulations by announcing changes to its iOS, Safari, and App Store in the EU, and allowing software developers to distribute their apps through alternative stores, it still faces scrutiny in a separate antitrust case related to its Apple Pay mobile system.
The timing of the European Commission’s announcement on the fines has not yet been determined, but it is expected to proceed with the antitrust investigation regardless. Apple has the right to appeal the decision in EU courts. The company declined to comment on the report, referring to a previous statement expressing satisfaction with regulators narrowing the focus of the probe.
This latest development highlights the ongoing battle between tech giants and regulatory authorities over issues of competition and fair practices. As governments around the world seek to rein in the power of these companies, fines and investigations have become increasingly common. The outcome of this case will have significant implications for Apple and may set a precedent for future actions against other major technology companies.
