Apple’s Secret Strategy to Avoid EU Fine Revealed!

“Apple Avoids EU Fine Over iPhone Browser Options Compliance”
By Foo Yun Chee
BRUSSELS (Reuters) – Apple is on track to avoid a potential fine and an EU directive regarding its browser options on iPhones, following adjustments made to comply with significant EU regulations aimed at regulating Big Tech, individuals familiar with the situation revealed on Tuesday.

The European Commission, which initiated an investigation in March last year under the Digital Markets Act (DMA), is anticipated to conclude its inquiry early next week, according to the sources. The Commission had expressed concerns that Apple’s iPhone web browser layout could impede users from switching to alternative browsers or search engines.

The forthcoming EU decision coincides with tensions with U.S. President Donald Trump, who has threatened to impose tariffs on countries that penalize U.S. businesses. The EU competition enforcer declined to provide a statement.

The DMA outlines a set of guidelines for Big Tech firms, with the objective of facilitating users’ movement between competing online services such as social media platforms, web browsers, and app stores, as well as creating opportunities for smaller competitors to enter the market. Companies risk fines of up to 10% of their global annual revenue for breaching DMA regulations.

Alongside the decision to close the investigation next week, the Commission is expected to impose fines on Apple and Meta Platforms for DMA violations, as well as issue directives for compliance with the legislation, the sources added.

In the second Apple case, the focus is on whether the company imposes restrictions that prevent app developers from informing users about non-App Store offers free of charge. The Meta case pertains to its no-ads subscription service in Europe in November 2023, which has drawn criticism from competitors and users, with regulators suggesting that the company should provide free alternative options.

(Reporting by Foo Yun Chee, Editing by Louise Heavens)

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