Brussels on Monday fined Apple R38 billion for thwarting competition from music streaming rivals via restrictions on its App Store, the iPhone maker’s first ever penalty for breaching EU rules.
Brussels on Monday fined Apple $2 billion (R38 billion) for thwarting competition from music streaming rivals via restrictions on its App Store, the iPhone maker’s first ever penalty for breaching EU rules.
The European Commission charged Apple last year with preventing Swedish streaming service Spotify and others from informing users of payment options outside its App Store, following a 2019 complaint by Spotify.
It said on Monday Apple’s restrictions constituted unfair trading conditions, a relatively novel argument in an antitrust case and also used by the Dutch antitrust agency in a decision against Apple in 2021 in a case brought by dating app providers. It ordered it to stop such conduct.
Apple said it would appeal the decision. A ruling at the Luxembourg-based General Court, Europe’s second-highest, is likely to take several years. Until then, Apple will have to pay the fine and comply with the EU order.
Its shares opened down 2%.
The penalty, the first time the Commission has added a deterrent lump sum on top of an antitrust fine as a deterrent, dwarfed the 500 million euros sources with knowledge of the matter had told Reuters they expected to be meted out to Apple.
