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Germany launches antitrust investigation against Apple

by Milan
June 21, 2021
Federal Cartel Office against Apple

The headquarters of the Federal Cartel Office in Bonn.

The Federal Cartel Office today initiated proceedings against Apple on suspicion of anti-competitive behavior in connection with the App Store, its products and other services.

In the now press release The announced proceedings against Apple are intended to clarify whether the tech giant from Cupertino has an "outstanding cross-market significance" and whether Apple has enough power through its ecosystem to make it difficult for "other companies" to challenge it. Andreas Mundt, President of the Federal Cartel Office, commented on the first proceedings as follows:

We will now examine whether Apple, with its proprietary iOS operating system, has created a digital ecosystem around its iPhone that spans multiple markets. Apple manufactures tablets, computers, and wearables, and offers a variety of device-related services. In addition to manufacturing various hardware products, the tech company also offers the App Store, iCloud, AppleCare, Apple Music, Apple Arcade, Apple TV+, and other services as part of its services business. In addition to assessing the company's position in these areas, we will examine, among other things, the extensive integration across multiple market levels, the size of its technological and financial resources, and access to data. One focus of the investigation will be on the operation of the App Store, as this enables Apple to influence the business activities of third parties in many ways.

The Federal Cartel Office has already received complaints against Apple

Since an amendment to German competition law came into force in January 2021, the regulator has initiated proceedings against Facebook, Amazon and Google. Now Apple is following suit. This is an initial procedure that is primarily intended to clarify whether Apple's practices warrant further investigations. According to reports, the Federal Cartel Office has already received complaints against Apple, including from the advertising and media industries, objecting to the app tracking transparency introduced in iOS 14.5. Apple is currently facing a similar investigation by the European Union. The Federal Cartel Office stated in the course of this that it will coordinate with the EU and other competition authorities during its investigation. (Image: Federal Cartel Office)

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