Brazil’s antitrust regulator has ordered Apple to change its in-app purchase policies within 20 days, or face daily fines. This follows a complaint from Mercado Libre in 2022. The ruling aims to enhance developer options for payment processing and reflects a wider trend of regulatory scrutiny on tech giants.
Brazil’s antitrust authority, Cade, has mandated that Apple remove its restrictions on in-app purchases within a 20-day timeframe. Should Apple fail to comply with this ruling, the company could incur daily fines of up to $43,000. This directive is rooted in a complaint submitted by the e-commerce platform Mercado Libre in 2022. Presently, the Brazilian regulators expect that Apple permit app developers to connect users to external websites for subscriptions and other digital transactions or allow developers to manage payment processing independently themselves.
The ruling reflects a broader regulatory trend across multiple jurisdictions aimed at reducing the monopolistic practices of major tech companies, particularly concerning their app stores. As scrutiny regarding digital market practices intensifies globally, Apple has already begun allowing alternative payment methods in certain regions, including Europe, Japan, South Korea, and the United States. However, many regulatory bodies remain vigilant, asserting that these measures are insufficient and demanding more comprehensive changes to Apple’s payment structures.
In summary, Brazil’s regulatory decision on Apple necessitates significant adjustments to the company’s in-app purchase policies, reinforcing a growing global consensus on the need for increased alternatives to monopolistic payment systems in digital marketplaces. This ruling highlights the ongoing challenge Apple faces in balancing user experience with regulatory compliance, as various entities worldwide continue to call for greater access and flexibility in in-app purchasing.
Original Source: techcrunch.com
