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EU having another crack at Apple

by on13 November 2024


Violating anti-geoblocking rules

The fruity-cargo cult Apple is again finding itself in trouble with the European Union over its geo-blocking antics.

A joint investigation by authorities in Belgium, Germany, and Ireland determined that Apple may be discriminating against EU consumers based on their country of residence.

The investigation found that Jobs’ Mob’s App Store, Arcade, Books, Podcasts, and iTunes Store include limitations on access, payment methods, and downloading, which amount to "unjustified discrimination."

The EU's geo-blocking regulation prohibits discrimination based on nationality, residence, or place of establishment when buying goods or services from a vendor in another member state. The Services Directive also requires that general conditions of access to a service do not contain discriminatory provisions.

The European Commission highlighted that Apple restricts user accounts, or Apple IDs, to access storefronts, pay for products, or download apps only from the country where the account is registered, which violates EU rules.

This creates problems for EU citizens when they travel within the bloc, leading to significant challenges in changing their country of registration.

EU Commissioner for competition, Margrethe Vestager, stated that no company should unjustly discriminate against customers based on their nationality or place of residence. She emphasised that preventing geo-blocking helps consumers access the goods and services they want across Europe and strengthens the Single Market.

Apple has one month to inform the Consumer Protection Cooperation (CPC) how it plans to resolve its geo-blocking violations. If Apple’s response is insufficient, national authorities could take enforcement measures, including imposing additional fines.

In March, the EU fined Apple €1.8 billion for its anti-steering practices. In September, the EU's highest court ruled that Apple owed up to €13 billion in back taxes due to favourable laws in Ireland, where Apple’s European operations are based.

The CPC’s investigation adds to the growing regulatory pressure on Apple in the EU. Apple is falling so foul of regulator’s that Apple’s CEO Tim Cook complained to Donald Trump that his cash strapped company was being picked on because it was American - rather than a convicted monopolist who treat developers like cash cows and customers like victims.

Apple is already trying to make EU Digital Markets Act (DMA) officials happy with new fees and promises. Moreover, Europe is pushing Apple to help rivals connect to iOS and iPadOS platforms. The recent actions by the EU demonstrate its commitment to ensuring fair competition and consumer rights across member states.

 

Last modified on 13 November 2024
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