Apple has filed an appeal against a landmark €500 million (£430 million) fine imposed by the European Commission earlier this year, escalating tensions between Silicon Valley and Brussels over digital market regulation.
The penalty — one of the largest ever handed to the iPhone maker by the EU — came after the Commission ruled that Apple had unfairly prevented app developers from directing users to cheaper options outside its App Store ecosystem, in breach of the EU’s new Digital Markets Act (DMA).
In a statement issued Monday, Apple accused the Commission of “going far beyond what the law requires,” arguing that the decision forced it to impose “confusing” new terms on developers and implement business rules that it claims are harmful to both developers and consumers.
“Today we filed our appeal because we believe the European Commission’s decision – and their unprecedented fine – go far beyond what the law requires,” Apple said. “As our appeal will show, the EC is mandating how we run our store and forcing business terms which are confusing for developers and bad for users.”
At the heart of the case is the concept of “steering” — Apple’s previous policy that blocked app developers from informing users of cheaper alternatives outside its App Store. Brussels ruled that such restrictions contravened the DMA, a sweeping regulation aimed at reining in Big Tech’s dominance by enforcing fairer market access.
Apple says the Commission has unlawfully expanded the definition of steering beyond what was intended by law, particularly by insisting that developers be allowed not just to link to external websites, but also promote external offers directly within their apps.
The appeal comes after Apple made changes to its App Store policies in a bid to comply with the DMA and avoid daily fines of up to €50 million. These included new fee structures and revised terms for developers in the EU — changes that Apple now says were imposed under threat and are counterproductive.
The EU’s move has reignited transatlantic tensions over the treatment of American tech giants. Former Trump administration trade adviser Peter Navarro has described the EU’s regulatory clampdown as “lawfare” against US companies, claiming it is a tool for non-tariff economic warfare. The sentiment echoes concerns in Washington that Brussels is unfairly targeting American firms like Apple, Meta, and Google.
Meanwhile, the European Commission has remained firm. Henna Virkkunen, its vice-president for tech sovereignty, insisted earlier this year that the EU would not “rip up its rules” to secure a trade deal with the US, even as Donald Trump threatens a 50% tariff on EU imports if no deal is reached by 9 July.
Tom Smith, a competition lawyer at Geradin Partners and former legal director at the UK Competition and Markets Authority, commented:
“Apple fundamentally hates being forced to change how it operates its App Store. The blunt truth is that it’s worth spending a few million on legal fees to delay opening up a market worth many billions a year.”
The Commission has said it is ready to defend its decision in court.
The case now moves to the General Court of the European Union, which will weigh Apple’s arguments against the Commission’s landmark interpretation of the DMA — a ruling that could set the tone for future enforcement of Europe’s tech laws.
