EU takes aim at Apple, Google, Meta non-compliance
Begins investigation under Digital Markets Act.
Apple and other tech giants face another legal fight - this time from the European Commission, which is now investigating the iPhone maker's alleged non-compliance with EU rules.
Apple, Google owner Alphabet and Facebook owner Meta are all being investigated by the EU under the Digital Market Act (DMA), key legislation designed to keep competition fair.
Both Apple and Google will be investigated over their mobile app stores, which the EU previously ordered must allow greater competition on their respective platforms.
Apple's previously-announced solution to satisfy DMA rules has drawn fire, in particular from long-time legal rival Epic Games, over fees and limits which make launching games or apps outside of the App Store costly - or in the more colourful words of Epic boss Tim Sweeney: "hot garbage".
"The Commission has opened proceedings to assess whether the measures implemented by Alphabet and Apple in relation to their obligations pertaining to app stores are in breach of the DMA," the EU wrote in a statement today, announcing its new investigation. "The DMA requires gatekeepers to allow app developers to 'steer' consumers to offers outside the gatekeepers' app stores, free of charge.
"The Commission is concerned that Alphabet's and Apple's measures may not be fully compliant as they impose various restrictions and limitations. These constrain, among other things, developers' ability to freely communicate and promote offers and directly conclude contracts, including by imposing various charges."
Apple is also being investigated over limitations to user choice when selecting default browsers and search engines on iPhone. Google, meanwhile is being investigated over unfair bias in search results that favour Google's own services.
The EU said it aims to conclude its investigations within the next 12 months, and has warned each company that it can impose fines up to 10 percent of their total worldwide turnover (or alternatively up to 20 percent for repeat infringements).
"The Digital Markets Act became applicable on 7th March," EU internal commissioner Thierry Breton wrote. "We have been in discussions with gatekeepers for months to help them adapt, and we can already see changes happening on the market.
"But we are not convinced that the solutions by Alphabet, Apple and Meta respect their obligations for a fairer and more open digital space for European citizens and businesses. Should our investigation conclude that there is lack of full compliance with the DMA, gatekeepers could face heavy fines."
Earlier this month, the EU said it was investigating the continued feud between Apple and Epic Games, after the removal of the latter's developer account. Epic Games' ability to develop for the App Store was then reinstated - and the company plans to relaunch Fortnite on iPhones in the EU later this year.