Apple Faces Backlash Over Proposed Compliance Measures with EU Digital Markets Act

Tech giants like Epic Games and Spotify have voiced strong opposition to Apple’s proposed compliance scheme with the Digital Markets Act (DMA), expressing concerns that it may not align with the law’s requirements, ultimately hindering consumer benefits. In a letter addressed to the EU executive, they underscored their apprehension, dated Friday.
Apple’s January announcement of modifications to its iOS operating system, Safari browser, and App Store within the EU, purportedly to adhere to the DMA’s regulations against online anti-competitive practices, has sparked controversy. Alongside other “gatekeepers” such as Google’s Alphabet, Amazon, Meta, Microsoft, and ByteDance’s TikTok, Apple faces a deadline of March 7 to align with the DMA, which threatens substantial fines for non-compliance.
Notably, Apple revealed plans to open its App Store to rival apps and expand payment services beyond Apple Pay on iPhones, a significant departure from its previous practices. However, developers opting for this route must now contend with a new “Core Technology Fee,” charging them 50 euro cents ($0.54) per download for apps surpassing one million downloads—a move contested by numerous developers, including Epic Games.
Critics argue that such fees will bolster Apple’s dominance and contradict the DMA’s intent to foster competitive digital markets. The letter from digital companies and associations asserts that Apple’s new terms flout both the spirit and letter of the law, undermining the EU’s efforts to promote digital market competition.
While Apple’s changes aim to enhance consumer choice and digital competition, skepticism abounds regarding their efficacy. The European Commission, contacted by AFP regarding the letter, affirmed that compliance measures proposed by designated gatekeepers would undergo thorough analysis post-March 7. Emphasizing the need for comprehensive scrutiny, the Commission reiterated its commitment to enforcing DMA provisions rigorously.
As the March deadline looms, tensions between tech giants and regulatory authorities escalate, underscoring the complexities of navigating digital markets’ regulatory landscape.

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