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Apple in the crosshairs of the EU Antitrust

Brussels has opened two investigations: one concerns the agreement with the developers of external apps, the other the payment system via Apple Pay mobile devices

Apple in the crosshairs of the EU Antitrust

Apple Lossless Audio CODEC (ALAC), ends up in the crosshairs ofEuropean antitrust, which has opened two investigations into the Cupertino giant: one concerns the agreement with the developers of external apps, the other the payment system via Apple Pay mobile devices.

In the first case, the EU Antitrust investigates two restrictions imposed by Apple on companies that distribute their apps on Apple devices:

  1. The obligation to use Iap, Apple's proprietary system, for selling content within apps (a very lucrative levy for Apple, which charges app developers a 30% commission on all transactions).
  2. A ban on informing users about alternative (usually cheaper) purchase options outside of apps.

According to Brussels, these practices “can ultimately harm consumers – reads a note – preventing them from benefiting from a wider choice and lower prices”.

The investigation was opened following reports from Spotify and from a distributor of e-books and audio books.

“Apple sets the rules for distributing apps to iPhone and iPad users,” he explains Margrethe Vestager, European Commissioner for Competition – and appears to have gained an access control role when it comes to distributing apps and content to users of Apple's popular devices."

For Vestager, the EU Antitrust must check “that Apple's rules do not distort competition in markets where Apple competes with other app developers, for example with its music streaming service apple music or with Apple Book's".

As regards the second investigation, the one relating to digital payments, the European Antitrust suspects that Apple is hindering the use of the NFC (Near Field Communication) sensor of the iPhone for systems other than Apple Pay.

Piccata replies from Apple: "It is disappointing that the European Commission is following up on unfounded complaints from a handful of companies who simply want to 'take a free ride', and don't want to play by the same rules as everyone else," writes the IT giant in a note.

The one opened today is not the only dispute between Brussels and Apple. Years ago the American company received a fine of 13 billion euros for having circumvented the payment of taxes in Europe: Apple however contested the sanction, going so far as to appeal to the Court of Justice of the European Union.

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