EU fines Apple €500 million over App Store policies

The European Commission has fined Apple €500 million (around $570 million) for violating the Digital Markets Act (DMA) through its restrictive App Store policies. The penalty comes after Apple was found to have prevented app developers from freely informing users about cheaper payment options outside the App Store, a clear requirement under the DMA.

At the heart of the issue is Apple’s commission structure, which imposes fees exceeding 17% on external purchases, contradicting the DMA’s mandate that developers must be able to offer alternative payment methods without additional charges. The EU criticised Apple for limiting developers’ ability to benefit from alternative distribution channels and ordered the company to eliminate both technical and commercial barriers related to these practices.

Adding to Apple’s regulatory troubles, the Commission expressed concerns over the company’s inadequate support for third-party app marketplaces. It claims Apple has discouraged developers by enforcing unfavourable business terms and complicating users’ access to alternative app stores.

Apple now has the opportunity to respond but faces potential further fines if it fails to comply. On a positive note for Apple, the EU acknowledged that recent changes to iOS—such as giving users more control over default apps and allowing the removal of system apps—meet regulatory standards. However, the tech giant remains under pressure to overhaul its broader App Store operations in Europe.

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