EU launches probe into Apple’s digital market compliance

The European Commission has initiated two specification proceedings aimed at guiding Apple towards effective compliance with its interoperability obligations under the Digital Markets Act (DMA).

This marks the first use of such proceedings under the landmark legislation, which seeks to ensure fair and open digital markets.

Margrethe Vestager, executive vice-president in charge of competition policy at the European Commission, stated, “Today is the first time we use specification proceedings under the DMA to guide Apple towards effective compliance with its interoperability obligations through constructive dialogue. We are focused on ensuring fair and open digital markets.”

The first proceeding focuses on iOS connectivity features and functionalities, predominantly used for and by connected devices such as smartwatches, headphones, and virtual reality headsets. The Commission intends to specify how Apple will provide effective interoperability with functionalities including notifications, device pairing, and connectivity.

The second proceeding addresses the process Apple has established to handle interoperability requests submitted by developers and third parties for iOS and iPadOS. The Commission emphasises the importance of a transparent, timely, and fair request process to enable effective innovation.

Vestager added, “Effective interoperability, for example with smartphones and their operating systems, plays an important role in this. This process will provide clarity for developers, third parties and Apple.”

The Commission aims to conclude both proceedings within six months. During this time, it will communicate its preliminary findings to Apple, explaining the measures the company should take to comply effectively with the DMA’s interoperability obligations. A non-confidential summary of these findings and envisaged measures will be published to allow third parties to provide comments.

Apple, designated as a gatekeeper under the DMA, was required to fully comply with all obligations for its iOS operating system by 7 March 2024. The company’s iPadOS, recently designated as a core platform service, must be compliant by 30 October 2024.

In response to the proceedings, Apple stated it would continue to work constructively with the Commission but also warned of potential risks. “Undermining the protections we’ve built over time would put European consumers at risk, giving bad actors more ways to access their devices and data,” the company said in a statement.

The DMA empowers the Commission to impose fines of up to 10 per cent of a company’s annual global turnover for non-compliance. These proceedings are seen as a significant step in the EU’s efforts to regulate large digital platforms and ensure fair competition in the digital economy.