Apple ordered by EU antitrust regulators to open up to rivals

EU Orders Apple to Open Up Its Closed Ecosystem to Rivals

European Commission Issues Landmark Ruling to Rein in Big Tech

The European Union has ordered Apple to open up its closed ecosystem to rivals, marking a significant step towards regulating the power of Big Tech. The move comes six months after the European Commission opened proceedings to ensure that the iPhone maker complies with the Digital Markets Act (DMA), a landmark regulation aimed at reining in the dominance of tech giants.

Key Requirements of the EU Order

The EU has set out two key requirements for Apple to comply with its order:

• The company must give rival makers of smartphones, headphones, and virtual reality headsets access to its technology and mobile operating system, enabling seamless connectivity with iPhones and iPads.
• Apple must respond to interoperability requests from app developers in a detailed and timely manner, as outlined in a set process and timeline.

Apple’s Reaction

Apple has slammed the EU order, arguing that it will harm users and benefit its rivals. In an email, the company stated, "Today’s decisions wrap us in red tape, slowing down Apple’s ability to innovate for users in Europe and forcing us to give away our new features for free to companies who don’t have to play by the same rules." Apple also expressed concerns that the order would negatively impact its products and European users.

EU’s Response

EU antitrust chief Teresa Ribera emphasized that the decision is simply a matter of implementing the law and providing regulatory certainty for both Apple and developers. "With these decisions, we are simply implementing the law, and providing regulatory certainty both to Apple and to developers," she said.

Consequences of Non-Compliance

If Apple fails to comply with the EU order, it may face an investigation, which could result in fines of up to 10% of its global annual sales.

FAQs

Q: What is the Digital Markets Act (DMA)?
A: The DMA is a landmark regulation aimed at reining in the power of Big Tech, ensuring a level playing field for smaller companies and promoting competition in the digital market.

Q: What are the key requirements of the EU order?
A: Apple must grant access to its technology and mobile operating system to rival makers of smartphones, headphones, and virtual reality headsets, and respond to interoperability requests from app developers in a timely and detailed manner.

Q: How will non-compliance be addressed?
A: Apple may face an investigation, which could result in fines of up to 10% of its global annual sales if it fails to comply with the EU order.

Q: What is Apple’s stance on the EU order?
A: Apple has slammed the order, arguing that it will harm users and benefit its rivals, while also expressing concerns about the impact on its products and European users.