Apple made major changes to its App Store policies in the European Union to meet new digital competition rules and prevent additional financial penalties.
Apple received a €500 million ($585 million) European Commission fine in April for blocking developers from sharing cheaper payment options outside its store. The European Commission established a 60-day deadline for Apple to modify its practices to fulfill requirements of the Digital Markets Act.
The updated system enables developers to send users to external websites or apps or third-party stores for purchases while implementing a two-tier fee structure. The updated system works to minimize Apple’s control over EU digital market operations.
Apple issued a statement about the Commission’s demand for additional changes while announcing its plan to fight the ruling in court.
The company’s actions demonstrate rising European regulatory attention toward dominant technology platforms. The company asserts it has followed all requirements but regulatory bodies doubt this claim. The Commission assesses if Apple’s recent modifications satisfy EU competitive standards at their current level.
Apple faces ongoing fines unless it achieves full compliance which strengthens the EU’s efforts to limit Big Tech market dominance.
