Apple Reportedly Negotiating to Stave Off EU App Store Fines

Apple is reportedly in eleventh-hour negotiations with European regulators about changes to its App Store.

As the Financial Times (FT) reported Monday (June 23), the tech giant is hoping to escape a series of escalating fines from the European Union (EU) set to go into force this week. 

Apple has already been fined 500 million euros for violating the EU’s Digital Markets Act (DMA), the landmark law created to curb Big Tech’s power. Sources involved in the negotiations told the FT that Apple was expected to offer concessions on its “steering” provisions that prevent users accessing offers outside the App Store. 

The European Commission (EC), which regulates the DMA, had ordered Apple to revise its rules within two months of the fine. Apple has until Thursday (July 26) to comply with the rules, or risk facing increasing fines, which could reach up to 5% of its average daily global revenue.

According to the FT’s sources, Apple is expected to announce concessions that give the company more time, as the EC would first assess those changes before rendering a final decision. The sources added that discussions had involved Apple’s “Core Technology Fee,” which requires developers to pay for each annual install after 1 million downloads.

The EC confirmed for the FT that it was working closely with Apple “to discuss effective compliance” but added it could not speculate on an outcome before the June 26 deadline.

It added that “the commission has ample regulatory powers at its disposal, if Apple continues to be in breach of its obligations under the DMA.”

The FT noted that the decision comes as President Donald Trump is visiting Europe for a NATO summit this week at The Hague, and as the EU and U.S. are approaching a July 9 deadline to agree on a trade deal.

Europe’s rules governing tech companies have been a sore point between Trump and the EU, with the president calling the bloc’s fines a “form of taxation.”

The potential fines are part of a growing list of regulatory challenges Apple is facing in Europe. The company was fined 1.8 billion euros in 2023 fine over practices that allegedly harmed its music-streaming competitors. 

Apple is not alone in dealing with regulatory headaches in the EU, as other American tech giants have also faced significant fines. Google has been levied fines of upward of $8 billion, while Amazon and Microsoft have been investigated and ordered to alter their business models to adhere to EU competition rules.

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