Apple is allegedly in violation of new legislation intended to restrain large tech giants, according to European Union regulators.
For the first time, the European Commission, which oversees EU competition laws, said that Apple’s App Store drives away competitors’ marketplaces, finding a firm in violation of the Digital Markets Act (DMA).
If the company doesn’t follow the regulations, it could be fined up to 10% of its worldwide revenue.
Apple declared that it is “confident our plan complies with the law.”.
The internet giant has the chance to analyze the preliminary results of the probe, and if it submits a solution that the EU finds acceptable, it can escape a hefty fine.
According to the European Commission, developers ought to have the right to openly inform users when there are alternative, less expensive app shops to Apple’s.
On its App Store, the company charges developers a commission of 30% on average.
It was already instructed to permit substitutes in the EU by March.
“We have reason to believe that the App Store rules not allowing app developers to communicate freely with their own users is in breach of the DMA,” Thierry Breton, the EU Commissioner, stated.
Furthermore, according to the Commission, Apple charges costs that “go beyond what is strictly necessary”.
Apple responded by stating that it has updated its software in the last few months to guarantee that it complies with the DMA.