Apple Delays Features, Cites EU's Digital Markets Act

The EU’s Digital Markets Act Faces Pushback from Apple

The European Union’s Digital Markets Act (DMA), enacted three years ago, aims to curb anti-competitive practices by major technology platforms. This is primarily achieved by simplifying the process for users to switch platforms and transfer data between applications and devices.

Apple’s Concerns and Feature Delays

Predictably, large technology companies have expressed dissatisfaction with the DMA. Recently, Apple has voiced strong opposition to the regulation. The company stated on Thursday that the EU’s enforcement of the DMA is causing delays in the rollout of certain features within the EU.

Apple contends that the regulations are resulting in a diminished user experience for its customers in the EU, potentially exposing them to increased risks and limiting their options. The iPhone manufacturer has even requested the European Commission to reconsider the DMA.

Interoperability Challenges and Privacy Concerns

Apple claims that the DMA’s requirement for interoperability with third-party applications and devices necessitates postponing the release of several features in the EU. These include a new live translation capability for AirPods, iPhone screen mirroring on Macs, and the functionality to track visited locations and preferred routes within Maps.

The company anticipates that the list of delayed features will continue to grow. Apple frames the DMA’s interoperability demands as being at odds with its dedication to user privacy.

The core of the issue lies in the law’s demand for companies to open their ecosystems to competitors, making proprietary apps and features compatible with external hardware and software. However, Apple asserts that its development teams are struggling to achieve this without potentially compromising user data security.

“We have proposed modifications to these features designed to safeguard user data, but the European Commission has, thus far, declined our suggestions,” Apple explained in a blog post. “Furthermore, the Commission maintains that, under the DMA, we are prohibited from releasing these features to Apple users until they are also available on competing products. Premature release could result in substantial fines and potentially force us to cease product distribution within the EU.”

Financial Penalties and Security Risks

Apple’s statement follows a recent EU fine exceeding $550 million, levied against the company for violating the DMA by mandating app developers to process payments for apps and services through Apple’s own ecosystem. The company is currently appealing this decision.

Additionally, Apple argues that allowing users to install applications from alternative app stores and utilize different payment methods, as mandated by the DMA, increases the potential for scams, malware, and fraudulent activities targeting its users.

“Over the past year since the DMA’s implementation, it has become evident that the Act is leading to a less favorable experience for Apple users in the EU. They are being exposed to new vulnerabilities, and the seamless integration of Apple products is being disrupted. As new technologies emerge, Apple users in Europe risk falling further behind,” the company stated.

EU Response and Ongoing Debate

European Commission spokesperson Thomas Regnier responded to Apple’s concerns during a press briefing on Thursday. He expressed no surprise at Apple’s call for the DMA’s repeal, noting that the company has consistently challenged aspects of the Act since its inception.

“This contradicts Apple’s claim of full cooperation with the Commission,” Regnier added. “We provided guidance on DMA compliance through specification decisions and outlined how Apple could achieve interoperability. However, after two months, Apple requested that we abandon these guidelines.”

Regnier emphasized that the DMA does not necessitate companies to lower their privacy or security standards. “It simply aims to provide users with greater choice, open up the European market, and foster fair competition among businesses,” he concluded.