The European Union is reportedly preparing a €500 million fine against tech giant Apple, according to a Financial Times (FT) report published on Sunday. The hefty penalty stems from allegations that Apple violated EU competition laws by restricting access and fair competition within its music streaming market.
Specifically, the EU takes issue with Apple's App Store rules, which allegedly prevent developers of music streaming services from informing users about alternative subscription options outside the App Store platform.
The practice, the EU argues, stifles competition and unfairly advantages Apple's own music streaming service, Apple Music.
The potential fine, if confirmed, would mark a significant escalation in the ongoing antitrust battle between the EU and Apple.
Last year, the European Commission formally accused Apple of anti-competitive behavior and launched an investigation into its App Store practices.
While the FT report claims the fine is imminent, with an announcement expected early next month, both the EU Commission and Apple have declined to comment.
Apple has previously defended its App Store policies, arguing that they ensure user security and privacy.
The potential €500 million fine would be a major blow to Apple, not only financially but also reputationaly.
It would also represent a significant victory for the EU in its efforts to regulate the dominance of big tech companies.
The final decision from the EU and Apple's subsequent response remain to be seen, but the potential fine undoubtedly throws a spotlight on the ongoing debate surrounding competition and fair practices in the digital age.