Apple to Face $500 Million Fine in EU Under Antitrust Law

Apple is set to face around $500 million fine after the alleged anticompetitive practices of stifling competition against Apple Music on iPhone.

Financial Times reported that the fine was regulators in Brussels, Belgium who investigated a complaint from Spotify, claiming that Apple has been preventing alternative music apps.

Spotify Seeks Fair Competition on iOS Devices

In 2019, Spotify argued that Apple has been muting competition against Apple Music. Last year, the European Commission certified that the iPhone company breached the antitrust law but the final ruling was yet to come.

Apple refused to comment any further on its case but referred to its previous policy stating "App Store has helped Spotify become the top music streaming service across Europe."

The final ruling is expected to be announced early next month. Once the final ruling favors the allegations against Apple, the Commission will ban the company's anticompetitive practices. The company will also be forced to openly recommend cheaper alternatives for iOS users.

With only weeks before the deadline to comply with the Digital Markets Act (DMA), Apple announced some changes to its iOS mobile software, App Store, and Safari browser. However, Spotify called the move a "complete and total farce."

Apple's Antitrust Allegations

In 2020, Apple was sued for over a billion dollars by French authorities. After appealing, the fine went down to $366 million. The French authorities fined Apple for illegally restricting how wholesalers sell Apple products.

Meanwhile, Apple preferred not to comment on the "speculation" and referred to a previous statement citing that the Commission should stop pursuing the case as it has no merit.

Other big tech companies have been slapped with fines through the regulations. EU competition chief Margrethe Vestager fined Google over $8 billion while Apple had to pay around $13 billion for alleged unfair tax breaks from Ireland.