Apple’s App Store Changes Establish EU Benchmark as Google Faces Possible Penalties

Apple's App Store Changes Establish EU Benchmark as Google Faces Possible Penalties

Apple’s App Store Changes Establish EU Benchmark as Google Faces Possible Penalties


Following years of regulatory disputes, the European Commission is allegedly referencing Apple’s App Store modifications in its investigation of the Google Play Store. Here are the specifics.

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In a unique report, Reuters mentioned today that Google may face a substantial EU penalty early next year if it fails to enhance compliance with EU regulations intended to guarantee fair access and competition, according to their sources.

This likely seems familiar to 9to5Mac readers, as the EC fined Apple € 500 million earlier this year under the Digital Markets Act, a decision the company is presently appealing.

This was merely one segment of the intricate exchanges that ultimately prompted Apple to reveal significant adjustments to the App Store, a shift that the EU is widely anticipated to consider within the framework of the DMA.

While the EU has yet to publicly indicate a stance regarding Apple, it is reportedly employing Apple’s modifications as a standard in private discussions.

Here’s Reuters:

> Adjustments to Google Play revealed in August to facilitate app developers in directing customers to alternative channels and selecting a fee model are reportedly insufficient, with the EU antitrust regulator regarding Apple’s recent revisions to its App Store as a standard.

These adjustments encompass reducing its “initial acquisition fee” from 10% to 3%, implementing a two-tier system for transactions and in-app purchases, a fee for installations made outside its Play Store, and additional measures.

While a direct comparison to the proposed App Store modifications is challenging, as both companies have introduced fairly complex frameworks, Apple’s strategy now seems to be the model for the regulator, something that would have appeared unimaginable just a few months ago.

Regarding Google, Reuters states that the company still has the opportunity to propose further changes before regulators enforce a fine, likely in the first quarter of the coming year.