EU fines Apple, Meta for breaking competition rules

US tech giants Meta and Apple have been fined a combined €700m by the European Commission for breaking rules under its new digital market laws.

Source: Sharecast

Apple was slapped with a €500m fine for stopping app makers from pointing users to cheaper options outside its own App Store. Meta will have to stump up €200m after it was found guilty of forcing Facebook and Instagram users to choose between seeing personalised ads or paying to avoid them.

Both firms have to comply with the decisions within 60 days or risk unspecified “periodic penalty payments,” the commission said.

"Under the Digital Markets Act, app developers distributing their apps via Apple's App Store should be able to inform customers, free of charge, of alternative offers outside the App Store, steer them to those offers and allow them to make purchases," the commission said in a statement.

"Due to a number of restrictions imposed by Apple, app developers cannot fully benefit from the advantages of alternative distribution channels outside the App Store. Similarly, consumers cannot fully benefit from alternative and cheaper offers as Apple prevents app developers from directly informing consumers of such offers."

"The fine imposed on Apple takes into account the gravity and duration of the non-compliance."

Meta's model also did not allow users to exercise their right to freely consent to the combination of their personal data.

Reporting by Frank Prenesti for Sharecast.com

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