Final hours! Save up to 55% OFF InvestingProCLAIM SALE

Apple fined 1 million euros by Paris court over App Store practices

Published 12/19/2022, 11:58 AM
Updated 12/19/2022, 12:46 PM
© Reuters. FILE PHOTO: The Apple Inc logo is seen at the entrance to the Apple store in Brussels, Belgium November 28, 2022. REUTERS/Yves Herman
AAPL
-

By Layli Foroudi

PARIS (Reuters) -The Paris Commercial Court on Monday fined iPhone maker Apple (NASDAQ:AAPL) just over 1 million euros ($1.06 million) for imposing abusive commercial clauses on French app developers for access to the company's App Store, the court ruling showed.

The ruling, seen by Reuters, said there was no need to order Apple, which has a market value of about $2.1 trillion, to tweak the App Store's clauses because the European Union's incoming Digital Markets Act would require changes in any case.

While tiny in size compared to the huge profits generated by Apple, the Paris court's fine is another sign of the legal pressures Apple faces to loosen its grip over the App Store, so far the only gateway for alternative app developers to access customers.

An Apple spokesman said the U.S. company would review the ruling and believed "in vibrant and competitive markets where innovation can flourish."

"Through the App Store, we’ve helped French developers of all sizes share their passion and creativity with users around the world while creating a secure and trusted place for customers," the spokesman added.

Apple faces heightened antitrust scrutiny over its contractual practices following the adoption of new EU legislation that targets so-called digital "gatekeepers" online -- tech firms whose platforms and softwares have become unavoidable for smaller digital companies.

The Digital Markets Act (DMA) in particular will force Apple and fellow tech giant Google (NASDAQ:GOOGL) to provide space for third-party app stores on their respective iOS and Android devices.

© Reuters. FILE PHOTO: The Apple Inc logo is seen at the entrance to the Apple store in Brussels, Belgium November 28, 2022. REUTERS/Yves Herman

The DMA came into force on Nov. 1 and there is now a six-month implementation stage before it starts to apply for the most part from May 2, 2023.

($1 = 0.9413 euros)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.