DMA dispute with the EU: Apple supposedly ready for concessions

According to a media report, Apple struggles in discussions with the European Commission to avert further punishments for violations of the Digital Markets Act. The EU had imposed a fine of 500 million euros against the iPhone manufacturer in April. The hanger was that developers who drive their apps on Apple’s App Store are not possible to point out cheaper offers outside the app store. Apple must take measures by the end of this month, otherwise there are further fines.

The Financial Times reported People familiar with the conversations that Apple is currently leading intensive last-minute negotiations with the European Commission. According to information from the negotiating participants, Apple is expected to make concessions in his controversial “steering” provisions. So far, these have been prohibiting developers to point out or steer app users to external purchase options. Apple could give a loosening of these rules, since the Commission would first have to evaluate the changes.

Also controversial core technology fee

The conversations should also be about Apple’s “Core Technology Fee”. This fee requires developers to pay for each annual installation after the first million downloads. The EU has been checking these terms and conditions since June 2024 and could either expand or set the investigation.

In parallel to Apple, the Commission must also decide on Meta on Thursday. The Facebook group announced changes to its personalized advertising model in November 2024 to avoid DMA penalties. It is still pending whether these measures are sufficient.

Significantly higher penalties possible

The European Commission confirmed the current discussions with Apple about “effective compliance”, but did not want to speculate about possible results. There are “extensive regulatory powers” if Apple continues to violate DMA obligations, it said from Brussels. Apple himself did not want to comment on the negotiations compared to the Financial Times.

If Apple does not adhere to the guidelines, the punishments can increase drastically: up to five percent of the average global sales are possible. In the company’s headquarters in Cupertino, however, the EU’s procedure is observed with dismay.