Apple (AAPL, Financial) is in critical negotiations with the European Union (EU) to potentially amend its App Store policies to comply with the Digital Markets Act (DMA). This move aims to avert a significant fine after previous allegations that Apple failed to permit third-party payment options within apps, resulting in a $570 million penalty and a 60-day correction notice. This compliance deadline is approaching.
The ongoing talks focus on the "Steering Provisions," which previously restricted app developers from guiding users to payment methods outside the App Store. Should Apple fail to meet the requirements, the EU might impose more stringent measures, including fines up to 5% of Apple's global daily revenue, approximately $55 million per day based on projections for 2024-2025.
Despite the looming deadline, the EU has indicated it may analyze the final adjustments before imposing additional fines. Sources close to the matter reveal Apple is considering concessions, such as revising the Core Technology Fee charged to developers bypassing the App Store for alternative payment channels. While the EU Commission has not detailed the negotiations, it maintains the right to enforce regulatory measures, including recurring fines, if compliance is not achieved.
