The European Commission intends to fine Apple around 500 million euros for allegedly violating EU competition law, the Financial Times reported, citing unnamed sources familiar with the matter.
The EU first launched an investigation into allegations that Apple interfered with third-party music services on its devices and favored its own Apple Music service, after Spotify filed a formal complaint with regulators in 2019.
In most regions, Apple’s App Store rules prohibit companies like Spotify from charging users for subscriptions directly within the app, so they instead use Apple’s App Store billing service, which takes up to 30%.
Brussels formally charged Apple in an anti-competitive investigation in 2021, but narrowed the scope of the investigation last year, dropping accusations of pushing developers to use its own in-app payment system.
The latest version of the investigation focused on whether Apple restricted apps from notifying users of cheaper subscription alternatives outside of its original App Store, thereby violating EU competition laws.
The investigation’s findings will lead to the Commission accusing Apple of abusing its powerful position and banning its “unfair trading conditions” over its music subscription policies, sources told the FT. If imposed, the fine would be one of the largest financial penalties the EU has imposed on a major technology firm. It follows a series of major contentious fines against Google.
While Apple has previously faced fines for antitrust behavior — such as a €1.1 billion fine in France that was later reduced to €372 million on appeal — this would be its first such fine from Brussels, by the EU.