Dutch Market Regulator Terms Apple’s Actions ‘Insufficient’ in Dating App Dispute

BY Chandraveer Mathur

Published 2 May 2022

App Store

Apple was fined 10 times by the Authority for Consumers and Markets (ACM) in the Netherlands earlier this year over a span of several weeks. The market watchdog wasn’t convinced that Apple’s changes to its App Store billing system would benefit dating app developers in the country. Despite levying the maximum possible fine of 50 million euros, the ACM remains unconvinced and has termed Apple’s actions “insufficient.”

In a statement shared by journalist Nando Kasteleijn on Twitter, the ACM said it “does see an improvement in the proposal that Apple makes, but they are not sufficient to comply with European and Dutch regulations.” The improvement mentioned refers to the iPhone maker’s decision to scrap the mandatory requirement of separate dating app binaries in the Dutch market. However, it is just one of the several prerequisites that the affected developers have opposed, justifying the regulator’s disapproval.

“The Netherlands Authority for Consumers & Markets (ACM) concludes that the changes Apple made on March 30 has made in the conditions for dating apps in the Netherlands are insufficient. Apple still uses unreasonable conditions for dating app providers in the Netherlands. That appears from own research, expert advice, and consultation with market parties.”

The ACM did not reiterate the specific conditions that Apple hasn’t complied with, but it said it would require several weeks of deliberation before charting a course of further action. According to the regulator, its maximum penalty “did not have the desired result” on Apple’s App Store policies. So, it is now “preparing a new order subject to penalty.”

To recall, before the ACM reached its 50 million euro limit, the European Commissioner for Competition and head of the EU’s digital policy, Margrethe Vestager, remarked that Apple would rather pay hefty fines than part with its sources of recurring revenue.

“As we understand it, Apple essentially prefers paying periodic fines rather than comply with a decision of the Dutch Competition Authority on the terms and conditions for third parties to access its App Store.”

Apple’s App Store policies and 30 percent commission on in-app purchases made through the App Store are also under the scanner of the European Union. The Digital Markets Act that has been provisionally approved intends to change things for the better.