Violating Geo-Blocking regulations Apple now finds itself in hot waters, facing accusations of breaching not one but two significant EU Scrutiny. The Consumer Protection Cooperation (CPC) Network is coming down hard on highlighting how Apple Media Services- including the App Store, Apple Arcade, Music, iTunes Store, Books, and Podcasts- unlawfully discriminate against European consumers based on their place of residence.
At the heart of the issue is the clear violation of the Geo-blocking Regulation, aimed squarely at stopping any unjustified discrimination against EU customers based on where they live or where they’re from. Alongside this, the Services Directive, demands that the rules for accessing services must be free from discriminatory practices based on nationality or residence—unless there is a rock-solid reason behind it.
Identifying the Issues
Apple Media Services has different interfaces based on which region of the EU or EEA country you are from, and switching from the country where your Apple account is registered can be difficult. Because of this, the consumers have reported experiencing hurdles while changing the interface from the region they had registered their Apple account.
However, that is not all, this setup becomes a major hurdle when making purchases within Apple Media Services. Consumers have a restricted number of options, as they can only use methods of payment (debit or credit cards) that are issued in the country where the Apple account was registered.
Apple’s alleged discriminatory practices make traveling even more difficult for globetrotters. Certain applications are available only in certain countries and cannot be accessed outside the region. Any attempts to do so while you travel or temporarily stay in another EU/EEA country, would simply not work.
A Repeat Offender
For Apple, this is not the first time they have come under the EU’s radar. Back in March 2024, the European Union slapped a hefty €1.84 billion fine on the tech giant for stepping on traditional competition rules. The drama centered around Apple’s App Store policies, which put a lid on developers from presenting users with alternative purchasing options that were cheaper and outside the Apple ecosystem. This move was seen as a blatant attempt to squash competition and limit consumer choices.
As per a source press release, this move contributed to the EU introducing the Digital Markets Act (DMA) in June 2024, through which a new set of regulations were stated that specifically targeted Big Tech companies to ensure fair competition and prevent monopolistic practices
For the violation of the Geo-blocking Regulation, the EU has threatened to fine Apple with enforcement actions and potential fines if they do not address the concerns raised against them. The fines for such violations can be substantial and can reach potentially up to 10% of Apple’s annual turnover under the previously mentioned Digital Markets Act. The company has been given a month to respond to the EU’s findings and propose its commitments to EU regulations.