Apple has filed a legal challenge against the €500 million (~ $587 million) fine imposed by the European Commission. The case has been brought before the EU’s General Court. The fine was issued in March 2025 under the EU’s new Digital Markets Act (DMA). Regulators accused the iPhone maker of violating competition rules by preventing app developers from informing users about cheaper subscription options available outside the App Store.
Primarily, the European Commission found that the company’s App Store policies unfairly limited competition. Under the rules the firm had in place, developers were not allowed to inform users about better pricing or subscription offers on their own websites or through other platforms. According to the commission, these restrictions forced developers to use Apple’s in-app payment system, which includes a commission of up to 30%, and ultimately led to higher prices for consumers.
In response, to comply with the DMA before a March deadline, the tech giant introduced changes to its App Store rules, including new options for developers to direct users to external purchasing platforms. The company hoped to avoid daily fines that could have reached up to 5% of its average global daily turnover. However, the Commission decided that Apple’s adjustments still did not fully meet the law’s requirements. Therefore, the Commission issued the €500 million fine, which was one of the first major penalties under the DMA.
Now, the Tim Cook-led company is asking the General Court to overturn the fine. The company argues that the penalty is excessive and not legally justified. According to several reports, Apple is claiming that it has made a serious effort to follow the new rules and believes the Commission has misinterpreted how its policies work. The company also argues that the Commission has overstepped by trying to control how it operates the App Store and sets terms with developers. Earlier, in March 2024, the EU fined Apple over €1.8 billion (roughly $2 billion) for abusing its dominant position on the market for the distribution of music streaming apps to iPhone and iPad users through its App Store.
Meanwhile, the European Commission is collecting feedback from app developers to see whether Apple’s changes are acceptable or if more changes are needed. This feedback could affect the outcome of the case and whether Apple faces further penalties. If the court sides with the Commission, Apple might be forced to make even more adjustments to its business practices in Europe.
The development comes at a time when the company is reportedly preparing new changes to its App Store policies to avoid further EU penalties. Several recent reports suggest that the firm may give developers more freedom to direct users to external payment options without restrictions or added fees. The company is also expected to review its controversial ‘Core Technology Fee’ of €0.50 per app install, which has faced criticism from developers and is under scrutiny by EU regulators.
