Apple under EU antitrust scrutiny over proposal for Spotify and App Store

The EU antitrust regulators are scrutinising a proposal by Apple to determine if it meets their directive allowing Spotify and other music streaming services to inform users of alternative payment methods outside of Apple’s App Store. This review follows the European Commission‘s recent order and hefty fine imposed on Apple for breaching competition rules. Under Apple’s proposal, services like Spotify can now include links on their apps directing users to their websites to purchase digital content or services, circumventing Apple’s payment system.

However, there’s a catch: any transactions resulting from these links will incur a 27% fee to Apple, including subsequent auto-renewing subscriptions. The European Commission is evaluating whether Apple’s proposal fully aligns with its decision. If there’s suspicion of non-compliance, the Commission may issue a Statement of Objections to address the concerns.

Apple insists that its plan adheres to the Commission’s decision, although Spotify has expressed frustration over Apple’s delay in complying with the EU order, which was issued five weeks ago. Meanwhile, the Commission is conducting a separate investigation into Apple’s App Store rules and its recent measures to comply with the Digital Markets Act (DMA) amid concerns that these could restrict developers from freely communicating and promoting their offerings.

Why does it matter?

The outcome of the EU’s assessment will determine whether Apple faces additional antitrust charges and penalties if its proposal is found to fall short of the Commission’s requirements. The ongoing dispute highlights the broader regulatory scrutiny facing tech giants like Apple over their market practices and dominance in the digital ecosystem, particularly concerning payment systems and app store policies.

EU launches toolkit to combat fake news in history education

The Council of Europe and the EU have collaborated to introduce a new educational tool to empower young people to assess content found online and in the media, discern historical inaccuracies, and engage in critical thinking about the material they come across. Dubbed the ‘Toolkit for History Classes: Debunking Fake News and Fostering Critical Thinking,’ this resource comprises 11 online activities designed to help students analyse various topics and events through historical sources and a multiperspective approach. Accompanying this toolkit is a free online training course for secondary school teachers, offering practical guidance on integrating the toolkit into classroom settings. Scheduled for release to the public in Autumn 2024, this initiative seeks to equip students with essential skills for navigating the digital landscape.

The unveiling of the toolkit will take place during the HISTOLAB European Innovation Days in History Education, scheduled from 3 to 5 April at the Council of Europe headquarters in Strasbourg. The conference, which is focused on history education, will bring together over 150 practitioners from across the EU and beyond to showcase and discuss innovative initiatives and practices in research, academia, and history teaching. Participants will explore diverse educational approaches, from analysing historical narratives through social media to using architecture to teach about totalitarian regimes.

The Innovation Days will feature nine practical workshops demonstrating engaging teaching methods that resonate with young learners. Examples include using LEGO to teach concepts of democracy and leveraging the medium of football to impart historical knowledge. With a focus on interactive and student-centred learning, these workshops aim to bridge the gap between traditional teaching methods and the interests of contemporary youth, fostering a deeper understanding of history in the process.

EU fines Apple €1.8B for Spotify antitrust case, Apple to appeal

The European Commission has imposed a first-time fine of 1.8 billion euros ($1.95 billion) on Apple for restricting Spotify and other music streaming services from offering alternative payment options outside its App Store. This verdict follows Spotify’s 2019 complaint concerning these limitations and Apple’s 30% App Store fees.

The EU competition authority deemed Apple’s restrictions as unfair trading practices. Margrethe Vestager, EU antitrust chief, explained how Apple exploited its market dominance for a decade by limiting developers from suggesting cheaper music services outside the Apple ecosystem, a violation of EU antitrust regulations. Apple is instructed to eliminate App Store constraints, aligning with requirements from the new Digital Markets Act (DMA), which Apple must comply with by March 7.

Apple expressed its intent to contest the EU’s decision in court, stating the ruling disregards the lack of credible proof of consumer harm and overlooks a flourishing and competitive market. The company further remarked that Spotify, the primary proponent and benefactor of this decision, holds the world’s largest music streaming app and has engaged extensively with the European Commission.

EU launches investigation into TikTok under DSA

The European Union will conduct an investigation into potential violations of online content regulations by ByteDance’s TikTok, with a focus on safeguarding children and ensuring transparent advertising. EU industry chief Thierry Breton stated that this decision was made after reviewing TikTok’s risk assessment report and its responses to information requests.

The Digital Services Act (DSA) of the European Union mandates that major online platforms and search engines must tackle illegal content and mitigate risks to public security. As such, the investigation will focus on issues like TikTok’s system design, particularly its algorithmic systems that may encourage addictive behaviours and create ‘rabbit hole effects.’ Additionally, it will also be assessed whether TikTok has implemented adequate and proportionate measures to ensure the privacy, safety, and security of minors. In addition to minors’ protection, the Commission will also be examining whether social media company provides a dependable database of advertisements on its platform to enable researchers to analyse potential online risks.

This investigation puts the social media platform at risk of significant penalties. Social media’s parent company, ByteDance, may face fines of up to 6% of its global revenue if TikTok is found to be in violation of DSA regulations. TikTok’s spokesperson has stated their commitment to collaborating with the process and added how the company has been at the forefront of developing features and settings to protect teenagers and prevent children under the age of 13 from accessing the platform, a challenge that the entire industry is currently confronting.

Negotiations underway for EU regulation on 5G and fiber networks

Negotiations are currently taking place for the EU regulation to accelerate the rollout of 5G and fiber networks. The key areas of focus for co-legislators are finding compromises regarding the tacit approval principle and intra-EU communication fees. Put in motion earlier in 2023, the EU’s Gigabit Infrastructure Act, which aims to streamline the deployment of high-capacity networks, is currently in the final stage of the legislative process.

While there is agreement among co-legislators on the objective of achieving the EU’s Digital Decade targets, there are disagreements on how to achieve them. The next trilogue, scheduled for Monday (5 February), is expected to bring about a resolution to these differences.

The main point of contention is the ‘tacit approval’ principle introduced by the European Commission, which allows administrative authorities that fail to respond to a permit request within a designated timeframe to be treated as having granted implicit authorization. However, several EU countries have raised objections to this principle due to concerns about its impact on their administrative processes. On the other hand, Members of the European Parliament (MEPs) are supportive of retaining the principle to enable fast network rollouts. The current stage of negotiations leans towards the Council’s position, suggesting the reference to the tacit approval principle with carve-outs that allow EU countries to derogate from it.

The role of the European Commission and the evidence provided by BEREC will be pivotal in guiding the decisions made during these negotiations.

ESMA consultation paper on the markets in crypto-assets (MiCA) implementation

The European Union’s Securities and Markets Authority (ESMA) has been mandated to develop technical standards and guidelines for certain provisions of the ‘Regulation on markets in crypto-assets (MiCA)‘. ESMA has already released two consultation packages in July and October 2023 to gather input from stakeholders. The current consultation paper aims to collect views and opinions on the implementation of MiCA, particularly regarding the development of certain MiCA mandates by December 2024.

The provision of crypto-asset services by third-country firms is strictly limited under MiCA. To protect EU-based investors from non-compliant entities outside the EU, ESMA and national competent authorities will take necessary action.

To provide guidance on applying the reverse solicitation exemption and preventing its potential circumvention, ESMA is considering adopting guidelines. These guidelines will define the supervision practices that national competent authorities should implement. ESMA has issued a Consultation Paper (CP) to seek input from interested parties in developing these guidelines. Respondents are encouraged to support their arguments or proposals with relevant information.

ESMA urges preparations for smooth transition to MiCA regulation.

The European Securities and Markets Authority (ESMA), the financial markets regulator and supervisor of the EU, has issued a letter and a statement urging preparations for a seamless transition to the Markets in Crypto-assets Regulation (MiCA).

In the letter addressed to the Economic and Financial Affairs Council (ECOFIN), Verena Ross, ESMA Chair, emphasises the need for Member States to promptly designate the competent authorities responsible for implementing the functions and duties outlined in the EU regulation. This is crucial to ensuring effective regulation and supervision of the crypto-asset market.

Furthermore, ESMA has released a statement addressing entities that provide crypto-asset services and the national competent authorities that will be responsible for their supervision. The statement sets out the expectations for both parties during the transitional period of MiCA. The EU’s financial watchdog urges the competent authorities to allocate resources and align their supervisory practices with those of their EU counterparts, in order to establish effective supervision from the start.

Market participants are strongly encouraged to initiate preparations for a smooth transition and ensure that their clients are informed about the regulatory status of their crypto-asset offerings. ESMA also emphasises the importance of market participants understanding the implications of the “grandfathered” status of their offerings and informing consumers about the risks associated with holding or investing in crypto-assets. This reminder aims to protect consumers and ensure they make informed decisions during the transitional period.

Why does it matter?

By taking these measures, ESMA aims to establish effective regulation and supervision of the crypto-asset market, safeguarding both market participants and consumers. The initiative reflects ESMA’s commitment to creating a well-regulated market for crypto-assets within the European Union.

EU antitrust regulators ask for more info on Amazon’s iRobot acquisition

EU antitrust regulators have postponed their investigation into Amazon’s $1.7 billion acquisition of iRobot, a robot vacuum cleaner maker, due to a lack of information provided by the companies. The European Commission, responsible for overseeing competition in the 27-country bloc, asked Amazon for necessary information to be supplied.

The European Commission has raised concerns that the acquisition could result in reduced competition in the market for robot vacuum cleaners and strengthen Amazon’s already dominant position as an online marketplace provider. This signals the need for a thorough investigation into potential antitrust issues. The investigation delay is a result of Amazon and iRobot’s failure to provide the required information, triggering a merger investigation procedure. Once the missing information is provided, a new deadline will be established for the Commission’s decision.

The European Commission’s warning about diminished competition in the robot vacuum cleaners market suggests that the deal might lead to fewer alternatives for consumers, potentially resulting in higher prices or limited innovation. Moreover, reinforcing Amazon’s market dominance as an online marketplace raises concerns about its impact on other online retailers and the overall competitive landscape.

Overall, the delayed investigation demonstrates the European Commission’s commitment to ensuring fair competition and preventing the concentration of power in the hands of a few dominant players. It underscores the need for companies involved in mergers and acquisitions to comply with regulatory requirements and promptly provide requested information to facilitate a comprehensive review process.

European Commission designates six tech companies as gatekeepers under Digital Markets Act

The European Commission has designated six major tech companies, including Alphabet, Amazon, Apple, ByteDance, Meta, and Microsoft, as gatekeepers under the Digital Markets Act (DMA). The designation applies to a total of 22 core platform services provided by these companies.


Under the DMA, digital platforms can be designated as gatekeepers if they play a crucial role in connecting businesses and consumers in relation to core platform services. Following a 45-day review process, the Commission confirmed the gatekeeper status for the designated companies.

At the same time, four market investigations have been initiated by the Commission to further examine Microsoft’s and Apple’s claims that some of their core platform services do not qualify as gateways.

The Commission has also concluded that Gmail, Outlook.com, and Samsung internet Browser meet the thresholds set by the DMA to qualify as gatekeepers. However, Alphabet, Microsoft, and Samsung provided valid arguments demonstrating that these services do not act as gateways for the specified core platform services. Consequently, the Commission decided not to designate these services as core platform services, meaning that Samsung is not designated as a gatekeeper for any core platform service.

Source: European Commission

Source: European Commission

Designated gatekeepers now have six months to ensure compliance with the DMA’s obligations. Gatekeepers are granted six months to submit a detailed compliance report outlining their adherence to the DMA’s obligations. In cases where a gatekeeper fails to meet DMA requirements, the Commission has the authority to impose fines of up to 10% of the company’s total worldwide turnover and up to 20% in cases of repeated infringement. Additionally, the Commission can introduce further remedies, such as mandating the sale of certain business parts or prohibiting gatekeepers from acquiring additional services related to systemic non-compliance.

Source: European Commission

Source: European Commission

Why does this matter?


The DMA is aimed at preventing gatekeepers from imposing unfair conditions on businesses and end users, and ensuring open and competitive digital markets. It works in conjunction with the Digital Services Act, proposed in December 2020, which addresses the negative consequences stemming from the behaviours of online platforms acting as digital gatekeepers to the EU single market. The DMA came into effect in November 2022 and has been applied since May 2023.

Antitrust complaint in Germany against Microsoft on Teams bundling

The German company ‘Alfaview’ has filed an antitrust complaint against Microsoft with the European Union. They claim that bundling video app Teams into its Office product gives Microsoft an unfair advantage in the communication software market.


A Microsoft spokesperson emphasized that they will “continue to engage cooperatively with the Commission in its investigation and are open to pragmatic solutions that address its concerns and serve customers well”.

This is the second complaint that Microsoft has received regarding the bundling of Teams after Salesforce -owned workspace messaging app, Slack filed an antitrust complaint in the EU for the same issue in 2020. Regulators are already preparing to investigate the matter. Microsoft has been fined €2.2bn in the past decade for practices that are in breach of EU competition rules. Although Microsoft has proposed a price reduction for its Office product that excludes the Teams app, regulators are seeking a bigger reduction.