The European Commission has fined Apple a whopping $2 billion

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The European Commission has fined Apple a whopping $2 billion

The European Commission has fined Apple for 1.8 billion euros (about 1.95 billion US dollars) for anticompetitive practices related to music streaming apps on its iPhone and iPad. The problem arose from Apple’s dominant position in the app market, which the company allegedly abused by restricting developers of music streaming apps on its devices. Last month, there was talk of a $500 million fine, but this is a huge step forward.

The EU has recognized Apple’s actions as illegal because they limit user choice

These restrictions, called “anti-diversion clauses,” prevented developers from informing users about cheaper subscription options available outside the App Store, including prohibiting them from posting links to their own websites or mentioning the price difference between in-app subscriptions and subscriptions offered elsewhere. The EU recognized this practice as illegal because it limited user choice, potentially led to price gouging, and hindered competition by giving Apple an unfair advantage.

The amount of the fine takes into account the ten-year duration of the violation, the significant size of Apple’s market, and the need to prevent similar offenses in the future. In addition, the EU ordered Apple to remove these anti-management provisions and to refrain from repeating such practices in the future.

This decision has the potential to create a more competitive environment for music streaming on Apple devices, where users will benefit from more transparent pricing and a wider range of subscription options. In addition, it contributes to a fairer and more open app market for developers. It is important to remember that Apple has the right to appeal this decision, but this decision sends a strong signal in favor of fair competition and consumer rights in the digital age.

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