Relief from Stringent Rules
The European Commission has made a significant announcement, sparing Apple’s iMessage from being categorized as a “core platform service” under the Digital Markets Act (DMA). This decision relieves iMessage from facing strict obligations, such as the requirement for interoperability with other messaging platforms. Alongside iMessage, Microsoft’s Edge browser, Bing search engine, and advertising services have also been exempted. The Commission’s determination stems from a thorough evaluation process involving consultations with stakeholders and the Digital Markets Advisory Committee.
Investigation Journey and Conclusions
Following a comprehensive five-month investigation initiated last September, focusing on 22 regulated services, the Commission arrived at this decision. While certain services like Apple’s App Store, Safari browser, and iOS operating system received core platform designations, iMessage awaited a definitive ruling pending investigation completion. Meta’s messaging platforms, WhatsApp and Messenger, were classified as core services, with efforts underway to promote interoperability with third-party services.
Scrutiny Surrounding iMessage
During the period of regulatory scrutiny, coinciding with Apple’s announcement of support for the cross-platform RCS messaging standard on iPhones, discussions around iMessage’s compliance intensified. Apple’s decision to support RCS alongside iMessage showcased the company’s strategic intent to enhance messaging capabilities while upholding the proprietary nature of its service.
Apple’s Compliance Efforts
Apple has proactively aligned itself with DMA regulations, introducing measures to adhere to legislative requirements, including provisions for alternative app stores and browser engines. Nevertheless, criticisms have emerged, particularly concerning the imposition of a Core Technology Fee, drawing backlash from industry figures such as Epic Games CEO Tim Sweeney and Spotify.
Implications and Continued Monitoring
The European Commission’s decision not to designate iMessage as a gatekeeper service under the DMA is a significant win for Apple, enabling the company to retain control over its messaging ecosystem. However, the Commission asserts ongoing vigilance, indicating a commitment to monitor market developments and reassess as necessary in response to significant changes.
Compliance Deadline and Enforcement
With the DMA scheduled to come into force on March 7, 2024, gatekeepers, including Apple and Microsoft, face the imperative of ensuring compliance with regulatory obligations. Recent announcements and adjustments from tech giants indicate efforts to meet the compliance deadline. However, the Commission retains authority for determining compliance, with penalties outlined for breaches under the DMA regime.
The exemption of iMessage from core platform designation under the DMA represents a pivotal development in regulatory dynamics, allowing Apple to maintain the proprietary nature of its messaging service. Amidst ongoing regulatory scrutiny, both Apple and Microsoft navigate the evolving regulatory landscape, striving to meet compliance standards while addressing industry concerns. As the DMA takes effect, the tech industry anticipates further regulatory guidance and enforcement measures to shape the digital market’s future within the European Union.
