Apple loses EU court fight over gatekeeper designation

EU General Court on Wednesday dismissed Apple's challenge to its gatekeeper designation under the Digital Markets Act for the App Store and iOS.finance.yahoo+1
The ruling follows Alphabet's loss last week against a record EU antitrust fine, strengthening the Commission's enforcement momentum.reuters
Apple can appeal to the EU's highest court, but the decision bolsters Brussels' authority to impose strict competition obligations on tech giants.globalbankingandfinance+1

Europe's General Court on Wednesday dismissed Apple's challenge against the European Union's Digital Markets Act, upholding the European Commission's designation of the company's App Store and iOS operating system as "gatekeeper" services subject to strict competition obligations.mlex+2

A Setback in Luxembourg

"The General Court dismisses Apple's actions regarding its designation as a gatekeeper in relation to the App Store and iOS," the Luxembourg-based tribunal said in its ruling. The court also declared Apple's separate challenge regarding its iMessage messaging service "inadmissible".finance.yahoo+3

Apple had brought three cases to the General Court in 2024 after the European Commission designated its App Store — spanning iPhones, iPads, Mac computers, Apple TVs and Apple Watches — as a single core platform service under the Digital Markets Act. The company also contested the labelling of iOS as an important gateway for businesses to reach consumers, which requires it to allow rivals to inter-operate with the system.globalbankingandfinance

Broader Context for Big Tech

The ruling comes days after Alphabet lost its own fight against a record €4.1 billion EU antitrust fine for using its Android operating system to block competitors, in a decision widely seen as bolstering Europe's crackdown on large technology companies. In a separate DMA case last month, the General Court partially annulled Meta's gatekeeper designation for Facebook Marketplace on procedural grounds.loc+1

Under the DMA, companies designated as gatekeepers face obligations including allowing alternative app stores, ensuring interoperability, and providing fair access to their platforms. Violations can carry fines of up to 10 percent of a company's global annual turnover.globalbankingandfinance

What Comes Next

Apple can still appeal to the Court of Justice of the European Union, the bloc's highest court, though such appeals are limited to questions of law rather than fact. The ruling strengthens the Commission's hand as it continues to enforce the DMA, under which it has already fined Apple €500 million for App Store practices and is pursuing additional non-compliance investigations.concurrences+2

Sources (29)