EU slaps Apple with €1.8b fine over music streaming
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The news: The European Commission has hit Apple with a €1.8 billion ($3 billion) antitrust fine, arguing that the tech giant abused its market dominance for the distribution of streaming apps.
The numbers: The Commission explained that the size of the fine was necessary in this case, as a significant part of the harm caused by the infringement consists of non-monetary harm, which cannot be properly accounted for under the Commission's fines guidelines.
The context: The decision found that Apple bans streaming app developers from fully informing iOS users about alternative and cheaper music subscription services available outside of Apple’s App Store, and from providing any instructions about how to subscribe to such offers. These ‘anti-steering’ provisions amount to unfair trading conditions, in breach of Union rules.
The Commission explained that the fine needed to be large enough to deter Apple or other large companies from committing similar infringements. The penalty is the third-largest antitrust fine issued by the European Commission to date.
What they said: Margrethe Vestager, competition chief for the EC, said that Apple had broken EU antitrust rules for a decade by “restricting developers from informing consumers about alternative, cheaper music services available outside of the Apple ecosystem.”
The source: European Commission Press Release
