Image Tabrez Syed via Unsplash
When the Netherlands said that it would fine Apple for failure to comply with its order to allow third-party payments for dating apps in Apple’s App Store for that country, you kind of figured - for the fine to matter, it would have to be a lot. By Apple standards, it was not. Sure, €5 million-a-week could really add up. But local law bars the fines from adding up to an amount over €50 million. Apple watcher Gene Munster figures the company makes that amount every five hours. So really, there’s no hurry for Apple to comply - a point hit on by the EU's head of digital policy on Wednesday.
MacRumors has said head, Margrethe Vestager, saying as much during a speech on privacy and the digital economy. Quoting her speech:
Effective enforcement, which includes the Commission having sufficient resources to do so, will be key to ensure compliance. Some gatekeepers may be tempted to play for time or try to circumvent the rules. Apple's conduct in the Netherlands these days may be an example. As we understand it, Apple essentially prefers paying periodic fines, rather than comply with a decision of the Dutch Competition Authority on the terms and conditions for third parties to access its App Store. And that will also be one of the obligations included in the [Digital Markets Act].
The EU says the Digital Markets Act (DMA) is about leveling the playing field for smaller businesses, startups, and consumers against large, established platforms like the app stores and services run by Apple and Google. They don’t call them “platforms,” though. They call them “gatekeepers.”
That language seems hostile. At the same time, dealing with Apple is a bit like trying to trick a genie. The Netherlands says, “open up to third-party payments systems and lower your commission,” to which Apple says, “okay! We’ll drop our commission from 30% all the way down to 27%.”
Well… they did agree to lower their commission.
