The European Union Officially Objected To Apple's Refusal To Use The Same Technology On The IPhone That Drives Apple Pay As Predicted, The EU Has Commented On Apple's Control Of NFC Contactless Payment Technology Used By Apple Pay In IPhone, And Initially Believes That Apple Has Abused Its Dominant Position Of Mobile Wallet On IOS.
According To The Wall Street Journal, The European Commission Has Issued A Statement Of Opposition. It Said That Apple's Barriers Limit Competition In The Mobile Wallet Market, And It Prevents Developers From Using The Technology In Order To Benefit Their Apple Pay Solution. The Objection Statement Has Been Sent To Apple In Writing. Based On This Preliminary Opinion, A More Comprehensive Investigation Is Continuing.
This Is Only The Initial And Formal Stage Of The Antitrust Lawsuit Against Apple, And The Company Will Have The Opportunity To Respond To The Committee's List Of Objections. The EU Pointed Out That Sending A Statement Of Objection "does Not Prejudge The Results Of The Investigation".
Today's Ruling Comes After The Company Was Accused Last Year Of Unfairly Punishing Rival Music Streaming Services. The EU Has The Ability To Impose Fines Of Up To 10% (US $36 Billion) Of Apple's Global Revenue And Force The Company To Change Business Practices.
If The Final Investigation Is Consistent With This Early Report, Apple Could Face Fines Of Up To 10% Of Its Global Turnover.
The Preliminary Opinion Of The European Commission On Apple Once Again Shows That The EU Is In A Leading Position In Trying To Control The Power Of Large Technology Companies. In The Past Few Weeks, The Group Has Passed Two Important Legislative Bills Aimed At Combating The Negative Impact Of Digital Giants. They Are The Digital Services Act (DSA), Which Forces Companies To Exercise Stricter Control Over Harmful Content On Their Platforms, And The Digital Market Act (DMA), Which Aims To Provide A Level Playing Field For Enterprises And Enable Small Companies To Compete With Large Companies.
Apple Has Not Yet Publicly Commented, But Has Previously Stated Its Opposition To Some Provisions Proposed By The EU, Especially Those That Relax The Company's Control Over The App Store From Which Apple Earns A Lot Of Revenue.