Source: iPhone Hack
Reportedly, Apple prefers paying the maximum amount of €50 million in fines than pay heed to concerns regarding its app store. The concerns were brought about by the Dutch competition authority with regards to payment methods. This entailed granting access to third-party payment options to Apple’s App Store. The head of digital policy of the European Union, Margrethe Vestager, stated this.
Margrethe Vestager gave a speech about digital economy and privacy, where she talked about Apple’s behaviour. She specified that the tech giant would rather pay periodic fines, instead of cooperating. Apple is indirectly refusing to comply with the wants put forward by the Dutch Competition Authority. The decision was based on the terms and conditions to enable third parties to gain access to the iOS App Store.
Vestager stated that the commission had “sufficient resources” to enforce Apple to comply with their terms. Apple’s conduct towards the situation in Netherlands was compared to “some gatekeepers” who showcased similar non-compliance.
“Apple essentially prefers paying periodic fines, rather than comply with a decision of the Dutch Competition Authority on the terms and conditions for third parties to access its App Store.”
Apple had previously complied with a ruling from the ACM, which is the Netherlands Authority for Consumers and Markets. The tech giant made the announcement that it would enable dating apps to utilise third-party payment options for in-app purchases on the Dutch App Store.To carry this out, developers had to keep two distinct app binaries, one for customers all around, other only for the Dutch customers. Apple would collect a 3% less commission i.e., of 27% from third-party payments options. This is along with developers already paying for a third-party payment processing medium. Apple generally takes 30% from developers for the use of the in-app purchase system. Authorities have still not confirmed if Apple is abiding by this rule.
Apple Inc. has still not laid out sufficient plans to address the matter for the App Store. The authorities confirmed consequently that they would fine Apple 5 million euros ($5.7 million) every week to the maximum amount of 50 million euros. Apple has yet completed five weeks’ worth of fines, which comes to 25 million euros.
The tech giant seems to rather pay the remaining 25 million euros than propose any serious solution to the issue. The Authority for Consumers and Market regrets Apple’s behaviour for they had clearly explained to them how they could “comply” with their needs.