Apple has a month left to change its App Store rules to comply with the European Union’s Digital Markets Act (DMA), or risk further penalties. The European Commission found that Apple’s business terms, even after recent changes, do not meet the DMA’s requirements under Article 5(4). The regulation demands that gatekeepers, like Apple, allow developers to inform users of external payment options, without extra charges or unreasonable restrictions.
The Commission fined Apple €500 million in April for failing to meet these conditions. Apple must now pay the fine and fix its practices by late June. If it doesn’t, the EU will impose “periodic penalty payments” until full compliance is achieved.
The Commission said Apple’s updated rules still fall short. Developers can link to outside payment options, but only under tight controls, such as using a single approved URL and paying Apple a 27 percent fee on purchases completed outside the App Store. These terms contradict the DMA, which requires Apple to allow developers to communicate and transact freely with users acquired through its platform.
Commission Rejects Apple’s Arguments
Apple claims it acted in “good faith” and that the regulation’s newness should exempt it from penalties. The Commission disagreed, stating Apple’s interpretations misrepresent the DMA’s plain language. The ruling emphasized that developers must be able to steer users to alternative purchase methods “free of charge,” and Apple’s current fee structure and technical restrictions don’t support that.
The Commission also said Apple’s limitation on in-app promotions, pop-ups, and contract options undermines the intent of the law. Apple’s technical and contractual design continues to control how developers engage with their users, despite the DMA requiring the opposite.
According to the Commission’s decision document, “None of Apple’s arguments for not imposing a fine, or for reducing the fine, are convincing.”
Appeal in Motion, but Clock Ticking
Apple has said it will appeal the decision and has accused the EU of unfair treatment. However, the appeal process won’t stop the clock. Apple must still implement changes by the end of June or face additional fines.
As confirmed by the European Commission’s April decision, the company is legally bound to meet the DMA’s steering obligations without further delay. According to the DMA ruling, Apple cannot impose fees or technical constraints on how developers inform users or manage transactions outside its platform.
The company has not confirmed whether it has paid the €500 million fine. If it fails to meet the 60-day deadline set in April, it faces ongoing fines until it changes its App Store practices.