EU Accuses Apple of Geo-blocking, Demands Solution Within a Month

November 12, 2024
EU Accuses Apple of Geo-blocking, Demands Solution Within a Month
  • National consumer protection authorities, including Germany's Bundesnetzagentur, are collaborating through the Consumer Protection Cooperation (CPC) network to investigate these issues.

  • The European Union has raised concerns that Apple's media services restrict access to digital content based on users' geographic locations, potentially violating the Geo-blocking Regulation established in 2018.

  • This action is part of a broader EU initiative aimed at ensuring compliance from major tech companies with the bloc's regulatory frameworks.

  • Apple is facing its first potential fine under the Digital Markets Act for allegedly restricting app developers from directing users to cheaper alternatives.

  • Despite strong sales growth, Apple's net income fell by 35% to $14.7 billion, largely due to a significant tax burden in Europe.

  • As of the latest reports, Apple has not yet responded to the EU's concerns, and its stock has seen a slight decrease, trading at $224 per share.

  • The EU's demands for uniform access to apps and services overlook the complexities of international rights agreements that govern media availability.

  • The EU's Digital Markets Act has also delayed software updates for iPhone users in Europe, impacting the rollout of features like Apple Intelligence.

  • Historically, Apple has acted quickly to regulatory challenges, as seen when it offered $10 million to resolve a ban on its iPhone 16 in Indonesia.

  • There is potential for dialogue between Apple and the CPC Network, which could lead to a resolution if Apple makes the necessary changes to address geoblocking.

  • In fiscal year 2024, Apple reported over $101 billion in sales in Europe, underscoring the region's significance to its overall revenue.

  • In related news, Apple reported $94.9 billion in sales for the September quarter, driven by a 5.5% increase in iPhone sales.

Summary based on 26 sources


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