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Apple's App store fees break EU law

by on01 November 2023


Unfairly target companies that offer subscription services

Apple's demands for a huge slice of the app action has miffed the Dutch who say that the fruity cargo cult is unfair to u companies that offer subscription services.

The Dutch Authority for Consumers & Markets has been battling Apple and its mighty briefs for a while now but this latest charge is new.

The authority said that Apple's commission on certain app subscriptions are an abuse of the company's market power abd unfairly target companies that offer subscription services, such as Match Group's dating app Tinder, which has to pay high commission rates on app sales, unlike ones that don't have paid digital content.

Apple harms such companies "by charging them an additional and inexplicably higher fee," according to the Dutch decision, which was sent in July.

Apple had earlier offered to reduce app sale commission in the Netherlands from 30 to 27 per cent, but the ACM's confidential findings state this offer doesn't go far enough.

The decision could pave the wave for greater antitrust scrutiny across the 27-nation EU on the fairness of Apple's fee structure for different apps. The European Commission in Brussels is already investigating how Apple restricts apps from informing users of cheaper subscriptions outside the app store.

Last modified on 01 November 2023
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