Apple Inc (NASDAQ:AAPL, ETR:APC) may soon face the first fine under the European Union's (EU) Digital Markets Act (DMA) due to alleged anti-competitive practices in its App Store, according to Bloomberg.
The European Commission charged Apple in June with violating the DMA by restricting app developers from offering users alternative purchasing options outside the App Store.
This fine, expected later this month, could be up to 10% of Apple’s global annual revenue, potentially reaching billions of dollars, underscoring the EU’s commitment to enforcing fair competition.
Earlier in March, Apple was fined €1.84 billion for limiting competition in music streaming. Apple also faces scrutiny over new fees for developers, further raising compliance issues under the DMA.
Effective from early 2024, the DMA requires "gatekeeper" companies to support alternative app stores and ensure app interoperability. Apple has made some adjustments to meet these standards and plans to appeal the EU's decisions, citing user privacy and security as priorities.