Apple Inc. has formally appealed a €500 million ($587 million) fine levied by the European Commission, marking a significant escalation in the ongoing dispute over the company’s App Store policies and their compliance with the European Union’s Digital Markets Act (DMA).
The fine, issued in April 2025, represents one of the most substantial penalties under the DMA to date. The European Commission determined that Apple’s restrictions on app developers—specifically, preventing them from directing users to alternative purchasing options outside the App Store—constituted a breach of the DMA’s anti-steering provisions. These provisions are designed to foster fair competition by allowing developers to inform users about and offer alternative purchasing avenues.
In response to the Commission’s decision, Apple filed an appeal with the General Court of the European Union, the bloc’s second-highest judicial body. The company contends that the Commission’s interpretation of the DMA overreaches the law’s intent and imposes undue constraints on its business operations. “We believe the European Commission’s decision—and their unprecedented fine—go far beyond what the law requires,” Apple stated, emphasizing that the mandated changes could lead to “confusing” business terms detrimental to both developers and consumers.
To avoid further penalties, which could amount to €50 million per day for continued non-compliance, Apple implemented several changes to its App Store policies in the EU. These adjustments include a tiered commission structure ranging from 5% to 13%, along with a 2% user acquisition fee, depending on the level of visibility and features developers choose. Additionally, Apple has allowed developers to guide users to external payment options and other app stores. Despite these modifications, Apple argues that the Commission’s requirements remain excessively burdensome and legally questionable.
Critics of Apple’s revised policies, such as Epic Games CEO Tim Sweeney, argue that the changes still fall short of promoting genuine competition. Sweeney described Apple’s new compliance measures as a “malicious compliance scheme” that continues to impose hidden costs and restrictions on third-party developers, thereby undermining the DMA’s objectives.
The European Commission, for its part, maintains that its actions are in line with the DMA’s goals of ensuring fair and open digital markets. A spokesperson for the Commission stated, “We stand ready to defend our decisions in court,” indicating a firm stance on the enforcement of the new digital regulations.
This legal battle between Apple and the European Commission underscores the broader tensions between major U.S. tech companies and European regulators. The DMA, which came into effect in 2023, targets so-called “gatekeeper” platforms—large digital companies that control access to significant portions of the online market. The act imposes specific obligations on these gatekeepers to prevent anti-competitive practices and promote market fairness.
Apple’s appeal is not an isolated case; other tech giants, such as Meta Platforms, have also faced substantial fines under the DMA and are pursuing legal challenges. These developments highlight the increasing regulatory scrutiny faced by Big Tech firms in Europe and the potential for significant shifts in how digital markets operate globally.
As the appeal process unfolds, the outcome will likely have far-reaching implications for Apple’s business model and the broader digital economy. A ruling in favor of the European Commission could compel Apple to make more substantial changes to its App Store policies, potentially setting a precedent for how digital platforms operate within the EU and beyond.
