Nobody’s fight: It’s not Meta & Microsoft vs Apple, but more Apple vs EU rules

Spotify and Epic Games, too, don’t support the new terms

4 min. read

Published onFebruary 23, 2024

published onFebruary 23, 2024

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As per reports, Microsoft and Meta are lobbying the EU to reject Apple’s new terms in response to the DMA (Digital Markets Act). With theMarch 7deadline for compliance fast approaching, it looks like Apple will be forced to make changes to its new policy.

The new€0.50Core Technology Fee levied on developers is supposedly the bone of contention between the tech giants. According to the newterms released by Apple,iOS apps distributed from the App Store and/or an alternative app marketplace will pay €0.50 for each first annual install per year over a 1 million threshold.

This led toXbox repealing its decision to launch Cloud Gaming on iOS. Others across the tech community share similar sentiments.Daniel Ek, CEO of Spotify, calls Apple’s new terms vague and misleading. Epic Games CEOTim Sweeneycalls it a “devious new instance of Malicious Compliance.”

But it’s not just the developers who are affected. Consumers like us, too, will miss out on safeguards and the ability to go with third-party developers offered by DMA if Apple’s new terms are accepted.

What’s the general consensus on the whole EU vs Apple situation?

Surprisingly, people are more aware of the situation than we expected. And they are calling out Apple! Here’s what the majority of the people wrote in aReddit post,

It seems people are more worried about their favourite apps not coming to iOS, sayXbox Cloud Gaming. Developers, on the other hand, are concerned about the added expense in the form of fees paid to Apple.

As per Apple’s estimate, under the new terms,99%would pay the same or lower fee while less than1%would be charged theCore Technology Fee. Major developers, however, believe that they will end up paying more than they can actually generate after deploying their apps on iOS.

A few support Apple’s decision

Some have surely come out in support of Apple, citing a more secure infrastructure if app deployment and payments are processed through Apple’s nativeApp Store.

It remains to be seen how the EU will respond to Apple’s updated terms. It could outright reject them, citing non-compliance with DMA, and impose a fine or give the Cupertino-based tech giant another deadline to comply.

The latter seems most likely as it will amicably settle the dispute. A fine, on the other hand, will be contested by Apple, and we may witness another long-drawn legal battle.

Though it won’t be the first time Apple is fined by the EU. Reports claim that the EU may slap a €500 million ($539 million) penalty on Apple after a complaint by Spotify.

Do you believe Apple is right in its response to DMA or whether the new terms need a complete overhaul? Share with our readers in the comments section below.

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Copilot in Outlook will generate personalized themes for you to customize the app

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Nobody’s fight: It’s not Meta & Microsoft vs Apple, but more Apple vs EU rules

What’s the general consensus on the whole EU vs Apple situation?