The European Union fines Apple 2 billion after losing its

The European Union fines Apple $2 billion after losing its legal battle with Spotify

The European Union has imposed an unprecedented sanction on Apple, which amounts to more than 1.8 billion euros, for practices considered abusive in the management of their companies App Store. This event marks a milestone in the regulation of technology giants and will have a profound impact on the market for the distribution of music streaming applications to users iPhone And iPad.

The lawsuit, initiated by Spotify, accused Apple of “abusing its dominant position” and deliberately restricting competition and harming competitors and consumers. Although the Financial Times was initially leaked, the final fine far exceeded expectations and sets a significant precedent in the application of competition law within the Financial Times European Union.

The fine is approximately 0.5% of global sales Apple in 2023This financial penalty reflects the seriousness with which the EU views the breach. The European Commission could have imposed a penalty of up to 10% of Apple's global sales, underscoring the scale of the case.

The fine imposed on Apple by the European Union marks a pivotal moment in the regulation of large technology companies.  Photo: AFP

The fine imposed on Apple by the European Union marks a pivotal moment in the regulation of large technology companies. Photo: AFP

Apple is fined $2 billion by the European Union

The key to the sanction lies in how Apple has managed its platform to restrict alternatives Apple Music. The Commission found that Apple restrictively controlled the user experience on iOS and also prevented developers from informing users about cheaper subscription options outside of the App Store.

This decision not only affects Apple and Spotify, but also sends a clear signal to the rest of the market about the importance of maintaining fair and transparent business practices. Apple's ban on offering alternatives and direct links to cheaper subscriptions was a turning point for the Commission, highlighting the need for fair competition in the digital ecosystem.

Manzana has defended itself by saying that Spotify does not incur any additional costs for its presence in the App Store and that the company has actually benefited greatly from the tools and technology provided by Apple. Despite the commission's decision, Apple insists the market is competitive and thriving and credits Spotify's success on its platform.

The fine imposed on Apple by the European Union marks a pivotal moment in Big Tech regulation and potentially paves the way for further changes in the way these companies operate in the European market.

With the recent entry into force of the DMA, Apple and other tech giants are expected to significantly adjust their operations, creating a more competitive and fair environment for all players in the digital market.