Categories: Business

The European Commission has fined Apple 1.8 billion euros for “abuse of a dominant position” in the music market.

This is the first time that Apple has been sanctioned for competition infringement. The American giant has received a fine of 1.84 billion euros from the European Commission “Abuse of Dominant Position” Online music market.

Spotify, a very popular music streaming platform, took Brussels to court against the practices of the Cupertino (California) company, which are believed to be against European regulations. “Fair Competition” And which, according to him, does not allow “Ensuring freedom of choice for consumers and an enabling environment for developers”

Also Read | Spotify has filed a complaint against Apple in a backlash against the App Store

At the end of a formal investigation opened in June 2020, the European Executive ruled in favor of the applicant. “For a decade, Apple abused its dominant position in the market to distribute music streaming applications”

Through its AppStore application store, competition commissioner Margrethe Vestager explained.

So the Apple group has placed restrictions to prevent app developers from promoting users on iPhone and iPad “Alternative and cheaper services available outside the Apple ecosystem”Mentioned Mme Vestager, adding: “This is illegal.” The group must, further, put an end to the identified practices and refrain from adopting similar measures in the future.

An amount considered “proportionate”.

This is the first time the European Union has sanctioned Apple for violating competition rules. This amount is fixed “Proportion of Global Income” of the California group and “It is necessary to be a deterrent”

The European Executive said in a press release.

“Such a fixed penalty was necessary because a substantial part of the loss is non-pecuniary and cannot be properly considered on the basis of income. (…). And the penalty should be sufficient to deter Apple from repeating this or a similar offense.”, the Commission insists. There is also a purpose “to prevent other companies of similar size and with similar resources from committing the same crime”.

Apple immediately announced that it would appeal the fines imposed. The group condemned the sanction “Despite the Commission’s inability to uncover any credible evidence of harm to consumers”. Fine “Ignores the realities of a rich, competitive and fast-growing market”A large American group responded.

Apple, for its part, accuses Spotify of profiteering “without payment” Advantages of Appstore and its “Tools and Techniques”WHO “contributed to making” From the Swedish platform “One of the most recognizable brands in the world”.

Also Read | The European Union accuses Apple of “abusing a dominant position” in the online music market

The world with AFP

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