A European Commissioner has declared that Apple will be the target of “strong action” if it doesn’t comply properly with the Digital Markets Act.
Apple has advised the EU about the steps it will be taking to comply with the EU Digital Markets Act when it comes into effect in March. While those plans have spurred complaints from developers and other affected parties, the EU itself has warned that Apple faces the prospect of penalties if it fails to do enough to comply with the new rules.
The European Commissioner for Internal Market Thierry Breton told Reuters “The DMA will open the gates of the internet to competition so that digital markets are fair and open. Change is already happening.”
Breton continued. “If the proposed solutions are not good enough, we will not hesitate to take strong action.”
Bretton’s comments appear to be a warning to Apple and other firms about the possibility of penalties if their proposals don’t do enough to meet the requirements of the DMA.
A spokesperson for the European Commission was similarly careful with their wording, saying only, “We strongly encourage designated gatekeepers to test their proposals with third parties.”
Apple earlier this month revealed that it will start to allow users to install apps from sources outside of the App Store. While developers will be able to offer their own app marketplace, they must still be approved by Apple and must use a human review process. Outside app stores are responsible for their own refunds, but are allowed to use third-party payment processors.
Apple is also changing its fee structure, reducing the standard commission of 30% down to 17%. For apps that stay within the App Store, there will also be a 3% fee for using Apple’s payment processing services.
All apps will also be subject to a “Core Technology Fee” of 0.50 Euro per the first installation of an app annually, waived for the first million installs.
Apple’s new rules have already gleaned quite a bit of criticism from outsiders. Epic Games CEO Tim Sweeney calls the changes Apple is putting into place an “anticompetitive scheme rife with junk fees.” Sweeney also called Apple’s plans, “more hot garbage.”
The Coalition for App Fairness (founded and financed by Epic) expressed similar sentiments. Executive Director of the Coalition for App Fairness Rick VanMeter also issued a statement, claiming that Apple “clearly has no intention to comply with the DMA.”