EU Greenlights Apple’s Antitrust Compliance, Boosts Competition
The European Union (EU) has approved steps from Apple that guarantee the firm avoids a large fine after a drawn-out antitrust inquiry and grant competitors of the iPhone maker access to its contactless payments technology system.
Apple Pay is a feature of hundreds of millions of iPhones, and the conclusion of this protracted probe coincides with increased scrutiny of the company’s business operations by US and EU regulators.
Following a two-year inquiry, the EU charged Apple in 2022 with violating competition law by preventing competitors from using its technology in favor of its payment system.
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A punishment of up to 10% of the group’s annual global turnover would have been one of the sanctions imposed by the EU for engaging in anticompetitive behavior. With Apple’s $383 billion in revenue in 2023, a charge of about $40 billion would have been imposed; however, regulators rarely impose the maximum penalty, and fines are typically lowered in court following an appeal.
Apple will escape a formal charge of violating EU law and a fine from Brussels of up to $40 billion. Following several charges of antitrust by European regulators, the two have temporarily called off their hostilities with this action.
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