Apple Faces First Penalty Under Digital Markets Act

Apple may soon face its first fine under the EU's Digital Markets Act for anti-competitive practices in the App Store, with additional penalties possible for ongoing non-compliance.

Financial Sanctions for Apple

Big news for Apple! The Cupertino-based company is about to face its first financial penalty under the European Union’s highly anticipated Digital Markets Act (DMA). This marks a new phase in the ongoing struggle by European regulators against the dominance of the App Store.

EU Grievances Against Apple

The decision to impose sanctions comes after the American multinational refused to allow app developers to direct users to less expensive alternatives outside the App Store, according to anonymous sources familiar with the matter.

An Imminent Fine?

This fine could be imposed just months after Apple was previously fined €1.8 billion (approximately $2 billion) for similar breaches under the EU’s traditional competition rules. “These abuses primarily involved the music streaming service Spotify,” the sources added.

According to our sources, the European Commission might levy the fine before the current EU Competition Commissioner, Margrethe Vestager, leaves her position later this month. However, the decision could also be delayed until later this year.

Additional Penalties for Apple?

Moreover, the financial sanction could also include periodic penalties imposed on Apple until it complies with the law. Our sources note, however, that the decision is still being drafted. The coming days will undoubtedly be crucial for the company and its users.