DMA designation sticks as Apple loses legal battle against EU rules

‘DMA’s mandate goes beyond what is lawful and proportionate’, Apple said.

Apple has today (8 July) lost a legal battle against the EU Commission that challenged how the bloc designated the company under its strict rules for Big Tech.

The iPhone maker took the bloc to court over its 2023 ‘gatekeeper’ designation under the EU Digital Markets Act (DMA), which aims to regulate players in various digital markets by setting responsibilities and banning unfair practices.

Gatekeepers, under the law, are companies considered to play a vital role in connecting businesses to consumers.

In its 2024 legal challenge, Apple sought to reverse the EU’s decision to designate its different App Stores across iPhones, iPads, Mac computers, Apple TVs and Apple Watches as a single core platform service under the DMA.

Apple’s iMessage, meanwhile, was designated as a number-independent interpersonal communications services for its number-less messaging capabilities, which the company also disagreed with.

Apple also argued that the DMA obligations to provide free-of-charge, effective interoperability are “unlawful”.

The Commission, however, argued against Apple, maintaining that irrespective of the device on which it was available, each of Apple’s different App Stores across its devices were used for the same purpose.

The EU General Court, today, took the side of the Commission and dismissed Apple’s actions, marking the latest development in the many legal challenges Apple and other Big Tech companies face in the bloc.

Apple has faced a number of challenges against its many different platforms as a result of the DMA. Last month, Italy announced a new investigation against the tech giant over concerns around its interoperability obligations.

Last year, the company – alongside Meta – became the first to receive penalties under the DMA, with Apple alone receiving a €500m fine for restricting app developers from informing customers of alternative offers outside its App Store.

“We firmly believe the DMA’s mandate goes beyond what is lawful and proportionate, threatening to erode decades of privacy and security protections we’ve built ​and leaving our users vulnerable to new risks,” an Apple spokesperson told news publications.

“We will continue advocating for the innovation and ​privacy our European customers deserve.” Apple can appeal the decision to the Court of Justice of the European Union.

Separately, Apple, today, announced plans to spend more than $30bn with chipmaker Broadcom to produce more than 15bn chips in the US.

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