Apple received a statement of objections from the European Commission on Monday, expressing its preliminary assessment that the corporation had misused its dominant position to promote its payment system, Apple Pay, and distorted competition as a result.
“Apple has created a closed ecosystem around its devices and operating system, iOS,” said Vestager, “and Apple controls the gates to this ecosystem, setting the rules of the game for anyone wanting to access customers using Apple products.”
“Mobile payments are becoming increasingly crucial in our digital economy, and a competitive and innovative payments landscape is critical for the integration of European Payments markets.”
The conclusion of the investigation is not revealed in the letter of objections sent to Apple.
In a news conference, European Commission executive vice-president Margrethe Vestager said that Apple’s anticompetitive conduct extends back to the launch of Apple Pay in 2015.
Vestager went on to say that the Apple inquiry will most certainly inform future Digital Markets Act applications.
“It will set a precedent in terms of security issues assessments, as well as a formula for effective and proportionate access to NFC for mobile payments,” Vestager noted.
The European Union approved the Digital Markets Act in March, but EU lawyers are still working out the details of how the regulations would work.
The specifics of the Digital Markets Act will be made public once it is finished, and it will be sent to the EU Parliament and Council for approval. The Act will take force 20 days after it is published, and its rules will take effect six months later.