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$1.95B Apple app store fine is headline grabbing but EU faces tough road collecting

$1.95B Apple app store fine

On March 4, the European Union imposed a substantial penalty of $1.95 billion on Apple, marking one of the company’s largest fines. The charge stems from allegations that Apple hindered music streaming companies from informing iOS users, within their iPhone or iPad apps, about more cost-effective subscription options for their services.

Following a lengthy investigation spanning several years, the EU concluded that Apple restricts music streaming app developers from fully disclosing alternative and cheaper music subscription services available outside of the app. Additionally, the tech giant prevents the provision of instructions on how users can subscribe to such cost-effective offers.

The EU emphasized the need for a substantial fine to act as a deterrent. However, Apple has expressed its intention to challenge the decision, asserting that, despite eight years of investigations, there is no compelling evidence supporting the claim that the company has impeded competition in a thriving market. In a statement, Apple stated, “While we acknowledge the European Commission, the facts do not align with this decision. Consequently, Apple will pursue an appeal.”

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