Wednesday, 28 April 2021 08:53

Apple may face EU anti-trust suit over allegedly blocking rivals Featured

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Apple may face EU anti-trust suit over allegedly blocking rivals Pixabay

The European Union is likely to hit Apple with an anti-trust suit this week for allegedly blocking rivals on its App Store, in the wake of a complaint from music service Spotify.

The British news agency Reuters reported that the Cupertino-based firm could face a fine amounting to as much as 10% of its global revenue.

The EU has been unable to sting Apple in the past, with the company defeating a bid by the political bloc to make it pay €13 billion (A$21 billion) in back taxes.

Four years after the EU made the demand, Apple prevailed in the Luxembourg General Court, which said "the Commission was wrong to declare" that Apple "had been granted a selective economic advantage and, by extension, state aid".

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It also said: “The General Court annuls the contested decision because the Commission did not succeed in showing to the requisite legal standard that there was an advantage for the purposes of Article 107(1) TFEU1,” with the reference being to EU competition rules.

Apple was hit with the fine in August 2016, after the EU said it had found the company had cut a number of illegal deals in Ireland in order to do business.

The EU has appealed against the verdict and is taking it to the European Court of Justice.

Spotify, a Swedish company, approached the European Commission in 2019, and also complained about the 30% commission that Apple charges app developers.


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Sam Varghese

Sam Varghese has been writing for iTWire since 2006, a year after the site came into existence. For nearly a decade thereafter, he wrote mostly about free and open source software, based on his own use of this genre of software. Since May 2016, he has been writing across many areas of technology. He has been a journalist for nearly 40 years in India (Indian Express and Deccan Herald), the UAE (Khaleej Times) and Australia (Daily Commercial News (now defunct) and The Age). His personal blog is titled Irregular Expression.

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