Apple is bracing for a ban on its App Store rules related to certain music-streaming services, accompanied by a substantial fine from European Union regulators, as reported by Bloomberg News on Wednesday.
Sources familiar with the investigation revealed that EU authorities are finalizing a decision aimed at prohibiting Apple’s practice of preventing music services from diverting their users away from the App Store to alternative subscription options. The decision is expected to be officially announced early next year, with Apple potentially facing a fine of up to 10% of its annual sales, according to Bloomberg’s sources.
Read more: Apple to Adjust App Store Policies to Comply with EU Digital Markets Act
The investigation stems from a complaint lodged nearly four years ago by Sweden’s Spotify Technology, alleging that it was compelled to increase the cost of its monthly subscriptions to offset expenses associated with Apple’s App Store rules. The European Commission initiated the probe and filed charges against Apple earlier this year, contending that the imposed conditions are unnecessary and may result in customers paying higher prices for services.
This impending decision marks a pivotal moment in the ongoing scrutiny of tech giants and their market practices, with the European Union taking a strong stance against what it perceives as anti-competitive behavior within the digital ecosystem. Apple, a key player in the tech industry, now awaits the outcome of the EU’s decision and the potential financial repercussions it may face.
Source: Reuters
Featured News
Google and South Carolina Clash Over State Records Demand
May 8, 2024 by
CPI
Telefonica Germany Teams Up with Amazon Web Services to Migrate 5G Customers
May 8, 2024 by
CPI
Federal Judge Grants $7.4 Million Settlement in Pork Price-Fixing Case
May 8, 2024 by
CPI
Wilson Sonsini Bolsters Antitrust and Competition Practice with Key Partner Returns
May 8, 2024 by
CPI
EU to Scrutinize Telecom Italia’s Network Sale to KKR
May 8, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI