The European Union’s executive body considered that the US company “Apple” is “exploiting its dominant position in the mobile device market by preventing competitors from working on its devices.”
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The Commission considered that “Apple” is exploiting its dominant position in the mobile device market “by preventing competitors from working on its devices”.
The European Commission on Monday accused the US giant Apple of preventing competition in contactless payment systems by imposing the Apple Pay service on its mobile phone users.
The Commission, the European Union’s executive body, said in a statement that “the iPhone manufacturer is exploiting its dominant position in the mobile market by preventing competitors from working on its devices.”
The European Competition Commissioner, Danish Margrethe Vestager, launched an investigation last June into Apple Pay, a mobile payment service, to determine whether the American giant had violated European laws.
There were initial concerns related to this payment service and the way it is used during online shopping and sites, and also Apple’s refusal to allow competitors to use it, except on conditions sometimes.
As the investigation progressed, the European Commission fixed its focus on the company’s “monopoly” through Apple Pay technology.
The NFC payment service was a great success, especially during the spread of the “Covid-19” epidemic, as it ensures that nothing is touched. According to some analysts, the great demand for the “Apple” store and the services available in it, gave the American company an advantage over competitors.
But “Apple” set certain prices for the use of its technology by third parties, and it also “contributed to forcing third parties to use its technology,” according to Archyde.com, which put the company under the microscope.
The commission is currently preparing an indictment that may be sent to Apple next year, according to Archyde.com. This document will identify practices that the regulator, led by Vestager herself, considers to be anti-competitive, while there are currently three files open by the European Commission against Apple.
Archyde.com adds that the commission may impose fines on companies amounting to about 10% of their global trading volume for violating laws, which means, given Apple’s income in 2020, that the fine may reach $27.4 billion.
Other European countries such as the Netherlands and Germany had earlier opened investigations or enacted legislation related to the “Apple Pay” service, while in South Korea the government approved a law, last month, that prevents “Apple” from forcing software developers to use its payment systems.