The European Commission informed Apple that its geo-blocking practices, where services are restricted or blocked in certain geographic locations, may be in violation of the law. These practices were identified on the App Store, Apple Arcade, Music, iTunes Store, Books and Podcasts.

The Commission, together with the Consumer Protection Cooperation Network, has three main concerns related to Apple’s geo-blocking, which they say “illegally discriminates against European consumers based on their place of residence.”

• First, the company reportedly offers different interfaces for its services depending on the registered country of the Apple ID being used, but this has made switching to that country difficult.
• The second is that consumers can only use payment methods, such as credit and debit cards, issued in their Apple ID’s registered country, creating challenges for those moving or traveling within the bloc.
• Third, European users cannot download apps offered in App Stores in other EU countries, limiting their access to region-specific content. This is also important when you travel.

An investigation by the Commission and CPC Network found that these geo-blocking practices could breach the EU Geo-Blocking Regulation and Services directiveboth of which prevent unnecessary discrimination against those who want to access digital services across borders.

Apple now has a month to respond to these concerns and propose corrective measures, such as removing its geoblocks. If its response is deemed unsatisfactory, the CPC network, led by authorities in Belgium, Germany and Ireland, could take possible enforcement action. The EU can even fine the company up to 4% of their global annual turnover.

In 2023, Google has made changes to the geo-blocking of its Play services in response to similar actions of the authorities.

Margrethe Vestager, executive vice president for a Europe Fit for the Digital Age, said in a press release: “We are intensifying the fight against geo-blocking. No company, large or small, should unfairly discriminate against customers based on their nationality, place of residence or place of business.

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“Preventing geo-blocking helps consumers access the goods and services they want across Europe and strengthens the functioning and integrity of our single market.”

TechRepublic has reached out to Apple for comment.

Apple is back-and-forth with the EU

The geo-blocking debacle is the latest in a series of regulatory spats between Apple and the EU, as the latter works to ensure fair competition and accessibility within digital markets. Just last week, the Commission announced its investigation into whether Apple’s iPadOS operating system complies with the Digital Markets Act.

iPadOS, along with the App Store, Safari and iOS, is on the list of core platform services which must comply with the DMA’s requirements as it provides “an important gateway for business users to reach end users,” As such, iPadOS users should be able to choose their default web browser, use third-party app stores, explore features with non-Apple accessories such as headphones and smart pens, among other things.

Interestingly, macOS is not considered a core platform service, meaning that European Mac owners may be able to access Apple Intelligence when it is released. Apple claimed it would not roll out its AI offering in the EU due to “regulatory uncertainties” caused by the DMA. However, an exception can be made because macOS does not have to comply.

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So far, the Cupertino giant has not quietly given in to the legislation. In January, it said that accessing third-party apps on Apple devices poses security risks, including “malware, fraud and scams, illegal and harmful content.”

But the European Commission has been persistent in its efforts to hold Apple accountable, launching three investigations into DMA compliance in the past year.

In June, the company was accused of violating the DMA for several reasons, including not making it easy enough for developers to send their customers to buy options outside of the app, which does not benefit Apple financially. It also launched a non-compliance investigation or Apple discourages developers from offering their iOS apps on third-party platforms.

In August, Apple announced that it would allow EU users to delete pre-installed apps on iOS 18 to comply with the DMA. It also made the “browser selection screen” clearer and expanded several default apps that can be replaced by third-party versions.

Apple must also comply with the Digital Services Act, a set of rules designed to regulate how designated “Many large online platforms” handle privacy, protect their users and operate transparently.