The European Commission plans to charge Apple with breaching the Digital Markets Act after finding that the iPhone maker failed to comply with obligations to allow app developers to “direct” users to offers outside the App Store without charge, according to Financial Timeswho cited three acquaintances.
The EU appears to oppose the fee on Apple’s core technology, but the exact charges it is believed to be planning to bring against Apple are unclear.
Apple could face fines for non-compliance of up to 5% of its average daily worldwide revenue, which is currently just over $1 billion, according to the report.
The report said the EU’s findings are preliminary, so Apple may still have time to make any necessary changes to iOS before charges are formally imposed by regulators. If the EU moves forward with the charges, they will be formally announced by the European Commission in the “coming weeks”, the report added.
Apple made big changes to the App Store, Apple Pay, Safari and more on iPhones in the EU as part of iOS 17.4 earlier this year. Apple now allows alternative marketplaces for apps, but still charges a fee for core technology. Apple also introduced a default web browser selection screen in Safari, now allows third-party web browsers to use web engines other than the iPhone’s own WebKit engine, and now allows third-party mobile wallet apps to access to the iPhone’s NFC chip for contactless payment functionality.
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