The European Union has opened investigations into over after concerns were raised that it is unfairly using its platforms. The commission will start antitrust investigations against Apple pay products and the App Store which say have stifled competition.
Apple is being accused of having control over Apple Pay and forcing developers to use the Platform over available options. In its investigations, the EU said that Apple’s terms and conditions may reduce choice, competition, and innovation. App Store also restricts developers from telling iPad and iPhone users of alternative means of purchasing.
In a statement, EU Vice-President Margrethe Vestager said:
“It is important to ensure that Apple’s terms do not distort competition, better quality, competitive prices, and innovation. It is important that Apple’s measures do not deny consumers the benefits of new payment technologies, including better choice, quality, innovation, and competitive prices.”
In 2019, Spotify alleged that Apple charged a 30% tax on all purchases made through the App making it anti-competitive. Spotify added that Apple has a similar platform, Apple Music, and therefore should not charge them. Spotify noted that:
“Apple’s anti-competitive behavior has intentionally disadvantaged competitors, created an unlevel playing field, and deprived consumers of meaningful choice for far too long.”
The company also welcomed the EU’s move to investigate Apple.
Apple has however not received the double investigations well. Apple added that the complaints were baseless and that some companies wanted a free ride.
According to Apple:
“We always maintain an equal playing field where anyone with the right idea and determination can succeed. At the end of the day, our goal is to ensure that our customers have the services of choice. We welcome the EU to prove to them that what we do is to make that goal a reality.”
Apple has maintained its innocence adding they have worked with many developers.