EU antitrust agency may not fine Apple much to avoid tariff war escalation

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AppleInsiderAppleInsider
Posted:
in iOS edited March 28

The European Union is set to fine Apple because of the App Store's claimed violations of the Digital Markets Act, but the sum will reportedly be minimal, to avoid the ire of President Donald Trump.


The EU is reportedly planning only minimal fines against Apple and others



During the ten years that Margrethe Vestager oversaw the EU's anticompetition regulations, Apple was fined $2 billion over allegations concerning Apple Music. Apple was also forced to pay $14.5 billion in back taxes, which Tim Cook described as "total political crap."

In a sign that the enforcement of the Digital Markets Act (DMA) is at least political, the Financial Times now reports that future fines are being reduced specifically to avoid clashes with President Trump. New EU competition chief Teresa Ribera had previously said she was open to negotiations with the White House, but the EU would not be bullied.

President Trump has already imposed a 25% tariff on the importing of car parts, which is a key business for EU countries including Germany. He has also, though, threatened further large-scale tariffs on the EU under certain circumstances, such as unspecified cooperation between Europe and Canada.

These extra tariffs haven't happened yet, and the ones on auto parts don't affect Apple. But even before he was elected, Trump had told Tim Cook that "I'm not going to let [the EU] take advantage of our companies -- that won't, you know, be happening."

All of this comes as the EU is reportedly set to shortly fine both Apple and Meta over DMA violations, and the fines are now expected to be minimal.

"This is a crucial test for the [European] Commission," a person said only to be from one of the affected companies told the publication. "Further targeting US tech firms will heighten transatlantic tensions and provoke retaliatory actions and, ultimately, it's [EU] member states and European businesses that will ear the cost.

Three unnamed EU officials said that the EU and the European Commission intend to impose fines that are far below the maximum. The DMA allows for fines of up to 10% of a company's global annual turnover, which would be many billions of dollars for Apple.

However, the European Commission reportedly says that the DMA is relatively new, and that decisions based on it could yet be court in challenged. Plus, under its new administration, the EC is said to be more focused on enforcing the law rather than on fining companies.

What happens next?



The EU is still expected to demand that Apple revise its App Store rules regarding the anti-steering aspects that the European Commission objects to. Similarly, Meta is expected to be told to change its "pay or consent" model, aimed at pushing users into allowing tracking.

At present, the European Commission is due to present its decisions to representatives of the EU's 27 member states on March 28, 2025. The fines are planned to be announced in the following week, though all dates are subject to change.

This new report follows previous speculation that in January 2025, the EU put all of its plans for fine on hold. It was said that the European Commission was waiting to see the impact of President Trump's new administration.



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Comments

  • Reply 1 of 22
    plalondeplalonde Posts: 4member
    "but the sum will reportedly be minimal, to avoid the ire of President Dictator Donald Trump.".
    darren mccoyrob53dtownwarriorintrepidfosterroundaboutnowJavert246019secondkox2ForumPostbshanksaudawg
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  • Reply 2 of 22
    anonymouseanonymouse Posts: 7,053member
    This just further exposes the extortion racket that the DMA is. The calculus is now, "How much can we get without it costing us more?"
    rob53jas99dtownwarriorintrepidfosteriOS_Guy80Javert246019secondkox2elijahgForumPostbshank
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  • Reply 3 of 22
    hammeroftruthhammeroftruth Posts: 1,379member
    Was it that, or was it that the economy worldwide isn’t doing that great and the EU is picking its battles a little more wisely.  US retail numbers aren’t too good and I don’t expect the EU’s numbers to be much better. 
    9secondkox2ForumPostbshanksconosciuto
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  • Reply 4 of 22
    tiredskillstiredskills Posts: 96member
    As if it makes a blind bit of difference.  The orange baby will throw a tantrum no matter what any one else does, the best course of action is to ignore him entirely.
    intrepidfosteriOS_Guy80danoxJavert246019secondkox2elijahgForumPostsaudawgsconosciutotrustnoone00
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  • Reply 5 of 22
    intrepidfosterintrepidfoster Posts: 5member
    Good that Trump is settling scores with the crybabies of the EU. Their economy is set up as a welfare state and they can’t compete so they extort. 
    Javert246019secondkox2elijahgForumPostbshankjas99jwdawsosaudawgsconosciutotrustnoone00
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  • Reply 6 of 22
    foregoneconclusionforegoneconclusion Posts: 2,959member
    Voters in the U.S. aren't going to care what Apple's fine turns out to be in the EU. They thought Trump might produce a better economy with lower prices and more job opportunities but that's not turning out to be the case. It's just the usual "austerity for thee but not for me" nonsense of the billionaire class. 
    nubusdanoxroundaboutnowJavert246019secondkox2mbenz1962elijahgForumPostbshanksaudawg
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  • Reply 7 of 22
    freeassociate2freeassociate2 Posts: 229member
    Was it that, or was it that the economy worldwide isn’t doing that great and the EU is picking its battles a little more wisely.  US retail numbers aren’t too good and I don’t expect the EU’s numbers to be much better. 
    doucheynameoftruth said:
    Or it’s a sign that retaliatory fines don’t work. There’s a thought.
    nubusroundaboutnowelijahgsconosciuto
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  • Reply 8 of 22
    jfabula1jfabula1 Posts: 205member
    foregoneconclusion said:
    Voters in the U.S. aren't going to care what Apple's fine turns out to be in the EU. They thought Trump might produce a better economy with lower prices and more job opportunities but that's not turning out to be the case. It's just the usual "austerity for thee but not for me" nonsense of the billionaire class. 
    Did Trump says his a magician?? The economy had been battered, $36 T US owed…..sooner will be insolvents….the loudest complainer are the fraudster. Wahhhh I can’t steal anymore wahhhh
    danoxroundaboutnow9secondkox2ForumPostbshanksaudawg
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  • Reply 9 of 22
    danoxdanox Posts: 3,652member
    jfabula1 said:
    foregoneconclusion said:
    Voters in the U.S. aren't going to care what Apple's fine turns out to be in the EU. They thought Trump might produce a better economy with lower prices and more job opportunities but that's not turning out to be the case. It's just the usual "austerity for thee but not for me" nonsense of the billionaire class. 
    Did Trump says his a magician?? The economy had been battered, $36 T US owed…..sooner will be insolvents….the loudest complainer are the fraudster. Wahhhh I can’t steal anymore wahhhh
    Yes he did. To a different audience everyday the story/lie changes like a used car salesman....
    roundaboutnowneoncat9secondkox2nubusforegoneconclusionForumPostsaudawgsconosciutotrustnoone00
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  • Reply 10 of 22
    9secondkox29secondkox2 Posts: 3,321member
    foregoneconclusion said:
    Voters in the U.S. aren't going to care what Apple's fine turns out to be in the EU. They thought Trump might produce a better economy with lower prices and more job opportunities but that's not turning out to be the case. It's just the usual "austerity for thee but not for me" nonsense of the billionaire class. 
    Lol. It's been two whole months. this stuff takes a while and is on the right track. But it looks like the abusive governments are forced to take a breather from attacking successful American companies. that's only a good thing. 
    ForumPostbshanksaudawgtrustnoone00
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  • Reply 11 of 22
    9secondkox29secondkox2 Posts: 3,321member

    jfabula1 said:
    Voters in the U.S. aren't going to care what Apple's fine turns out to be in the EU. They thought Trump might produce a better economy with lower prices and more job opportunities but that's not turning out to be the case. It's just the usual "austerity for thee but not for me" nonsense of the billionaire class. 
    Did Trump says his a magician?? The economy had been battered, $36 T US owed…..sooner will be insolvents….the loudest complainer are the fraudster. Wahhhh I can’t steal anymore wahhhh
    Exactly this. Just like those who are actually  complaining that fraud is actually being discovered and resolved, HELPING the financial woes of the USA. You can't make this stuff up. 
    edited March 28
    saudawg
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  • Reply 12 of 22
    rerollreroll Posts: 62member
    As the leader of the free world, the EU must stand firm in fining corporations for unlawful activities, particularly when they are shielded by equally unlawful dictatorships.
    9secondkox2williamlondonsaudawgsconosciutotrustnoone00
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  • Reply 13 of 22
    lowededwookielowededwookie Posts: 1,194member
    I'm starting to gain weight with all this popcorn I'm eating.

    The greatest reality show ever made in my not so humble opinion.
     0Likes 0Dislikes 0Informatives
  • Reply 14 of 22
    foregoneconclusionforegoneconclusion Posts: 2,959member
    Voters in the U.S. aren't going to care what Apple's fine turns out to be in the EU. They thought Trump might produce a better economy with lower prices and more job opportunities but that's not turning out to be the case. It's just the usual "austerity for thee but not for me" nonsense of the billionaire class. 
    Lol. It's been two whole months. this stuff takes a while and is on the right track. But it looks like the abusive governments are forced to take a breather from attacking successful American companies. that's only a good thing. 
    That's the point though: voters are already disgruntled about the direction of the economy in a very short period of time. Trump had to pull his nominee for the UN because of concerns about losing that seat in the House of Representatives. Trump didn't campaign on the "no pain, no gain" stuff that the GOP is trying to sell now. People have enough financial/economic pain already. 
    edited March 29
    ForumPostjas99saudawgsconosciuto
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  • Reply 15 of 22
    AnObserveranobserver Posts: 11member
    anonymouse said:
    This just further exposes the extortion racket that the DMA is. The calculus is now, "How much can we get without it costing us more?"
    Just wait for the suits complaining the fine/penalty for Apple is not severe enough 
     0Likes 0Dislikes 0Informatives
  • Reply 16 of 22
    9secondkox29secondkox2 Posts: 3,321member
    Voters in the U.S. aren't going to care what Apple's fine turns out to be in the EU. They thought Trump might produce a better economy with lower prices and more job opportunities but that's not turning out to be the case. It's just the usual "austerity for thee but not for me" nonsense of the billionaire class. 
    Lol. It's been two whole months. this stuff takes a while and is on the right track. But it looks like the abusive governments are forced to take a breather from attacking successful American companies. that's only a good thing. 
    That's the point though: voters are already disgruntled about the direction of the economy in a very short period of time. Trump had to pull his nominee for the UN because of concerns about losing that seat in the House of Representatives. Trump didn't campaign on the "no pain, no gain" stuff that the GOP is trying to sell now. People have enough financial/economic pain already. 
    fake news. Voters love it. It’s what most of America asked for. We knew it was a fight. But rather than aquiescing and continue to descend like the last group, we chose a fighter to take action. Economy was destroyed through major incompetence. Now the holes are being plugged, fraud and corruption is being addressed, and corrupt governments like the EU are put on notice. Leech governments are now forced to play nice. It’s a much better position. The UN rep thing is a deflection. It’s simply a fact that the house has only a slight lead. So ensuring any potential shift is minimized is prudent. That’s just wisdom in action. It’s been really, really bad for four years. Two months is not even enough time to vet a new employee at an organization. Let’s not focus on moving goalposts and instead simply be glad someone is standing up for Apple in the face of abusive and corrupt foreign powers. 
    edited March 29
    saudawgtrustnoone00
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  • Reply 17 of 22
    nubusnubus Posts: 768member
     Let’s not focus on moving goalposts and instead simply be glad someone is standing up for Apple in the face of abusive and corrupt foreign powers. 
    3 countries having North American geographical areas are on the "15 least corrupt countries list" according to transparency.org.
    U.S. is not one of them. U.S. is globally #28 and #5/6 in North America. Did you try to fix your own house first?

    I guess not.     The White House is now a Tesla showroom funded by taxpayers while the next round of tariffs affects everyone but Tesla. The art of being a back scratching swamp creature.

    All of this for an article based on hearsay from a lobbyist. Have you considered that EU can't keep fines and has no smartphone production to protect?
    9secondkox2saudawgwilliamlondonsconosciutomuthuk_vanalingamtrustnoone00
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  • Reply 18 of 22
    9secondkox29secondkox2 Posts: 3,321member
    nubus said:
     Let’s not focus on moving goalposts and instead simply be glad someone is standing up for Apple in the face of abusive and corrupt foreign powers. 
    3 countries having North American geographical areas are on the "15 least corrupt countries list" according to transparency.org.
    U.S. is not one of them. U.S. is globally #28 and #5/6 in North America. Did you try to fix your own house first?

    I guess not. The White House is now a Tesla showroom funded by taxpayers while the next round of tariffs affects everyone but Tesla. The art of being a back scratching swamp creature.

    All of this for an article based on hearsay from a lobbyist. Have you considered that EU can't keep fines and has no smartphone production to protect?
    Fixing the corruption of the last four years is exactly what’s going on these days. Look no further than the USAID farce. So there is a great effort going on there. The president talking up an American car he bought after that same company has been vandalized, terrorized, and assaulted by coordinated criminals seems like a pretty dang good thing to do to most Americans. 

    Of course the eu has no iPhone of its own. If they did, they’d make money instead of stealing it from American companies - especially apple. You can cover for the corruption as much as you want, but the first round was obvious as it attacked the business models of American companies. And now they stopped pretending and showed how blatantly criminal they are by simply singling out apple by itself, shifting goalposts yet again. All the while the suck getting richer by the billions. And where are those billions going? So it’s best that Apple has a powerful ally who not only says he’ll do something about the abuses, but actually does something about it. 
    saudawgtrustnoone00
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  • Reply 19 of 22
    thedbathedba Posts: 822member
    9secondkox2 said:
    nubus said:
     Let’s not focus on moving goalposts and instead simply be glad someone is standing up for Apple in the face of abusive and corrupt foreign powers. 
    3 countries having North American geographical areas are on the "15 least corrupt countries list" according to transparency.org.
    U.S. is not one of them. U.S. is globally #28 and #5/6 in North America. Did you try to fix your own house first?

    I guess not. The White House is now a Tesla showroom funded by taxpayers while the next round of tariffs affects everyone but Tesla. The art of being a back scratching swamp creature.

    All of this for an article based on hearsay from a lobbyist. Have you considered that EU can't keep fines and has no smartphone production to protect?
    Fixing the corruption of the last four years is exactly what’s going on these days. Look no further than the USAID farce. So there is a great effort going on there. The president talking up an American car he bought after that same company has been vandalized, terrorized, and assaulted by coordinated criminals seems like a pretty dang good thing to do to most Americans. 

    Of course the eu has no iPhone of its own. If they did, they’d make money instead of stealing it from American companies - especially apple. You can cover for the corruption as much as you want, but the first round was obvious as it attacked the business models of American companies. And now they stopped pretending and showed how blatantly criminal they are by simply singling out apple by itself, shifting goalposts yet again. All the while the suck getting richer by the billions. And where are those billions going? So it’s best that Apple has a powerful ally who not only says he’ll do something about the abuses, but actually does something about it. 
    Boy do you “Muppets” know how to double down.
    So they are fixing the corruption by gutting the CFPB, you know, the anti-scam police. And by firing the ispectors general. Whose job is to root out “corruption”.
    Boy did they ever show that USAID who’s boss, didn’t they. I mean who’s job would it be to, I don’t know, let’s say go to Greenland for a little photo-op with Usha and JD and sell the natives on the idea of joining “America!!!!!!”. An agency like USAID could’ve refurbished a hospital, built an arena, then hand out little American Flags and hand out Hershey chocolate bars to children and have them wave at Usha as she stepped off the plane.
    But no these “geniuses”  gutted USAID (American soft power). 
    So the Greenlanders just rejected poor “Usha”, snif snif, and rebranded MAGA = Make America Go Away.    
    But worry not, Elon will definitely convince them when he steps off the plane yelling “CHAINSAW!!!!”. 

    Now you go on saying that Europe is stealing iPhones from American companies. Must be news to millions of European citizens who paid  €1000+ a pop for one. Or maybe Tim Cook should’ve just stopped all shipments to the EU. Maybe Tim should be consulting with Mr. Doggie, I mean DOGE himself. Look at how well he’s running Tesla, Twitter, SpaceX to the ground, despite his so many successes like 
    Full Self Driving….. ah wait a minute
    Landing Starship on the moon…….no that’s not it
    Building the Hyperloop……. Oh not that
    While he is getting the equivalent of $8 million a day of public money,  at the same time he is cutting grandma’s cheque and is cutting back on waste, fraud and abuse while gutting agencies that would regulate him. And he’s doing all that with “Big Balls” while the 2nd in command is playing golf at Mar-a-lago. 

    saudawgwilliamlondonsconosciutomuthuk_vanalingamtrustnoone00
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  • Reply 20 of 22
    davidwdavidw Posts: 2,148member
    This just further exposes the extortion racket that the DMA is. The calculus is now, "How much can we get without it costing us more?"

    The DMA was never written and enacted, to solve any anti-competitive problems the EU was having with the 5 largest US tech companies. The DMA was written and enacted, to have the 5 largest US tech companies solve the age-old problem with Socialism eventually running out of other peoples money.
    edited March 30
    nubussconosciutotrustnoone00
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