A simple comma is going to cost Apple billions in Europe
a year ago
- #Digital Markets Act
- #Apple
- #European Commission
- Apple will no longer be allowed to collect fees on iOS' external purchases in Europe starting June 23.
- The change is due to the Digital Markets Act (DMA), which aims to strengthen competition in the digital space.
- Apple had previously been fined €500 million by the European Commission for maintaining 'technical and commercial restrictions.'
- The disagreement centers on Article 5.4 of the DMA, specifically the interpretation of 'free of charge' regarding external transactions.
- Apple argues it can still charge commissions on external transactions, while the European Commission insists all transactions must be free.
- Apple faces daily penalties of up to €47 million if it does not comply with the ruling.
- The financial impact on Apple could be significant, with potential losses in the billions of euros annually.
- Apple is likely to appeal the decision, but the legal process could take several years.