Apple loses legal challenge against EU Big Tech rules

Apple suffered a major legal setback against the European Union on Wednesday as the EU court decided to uphold the rules aimed at curbing big tech companies.

At the heart of the legal fight lies the landmark rules which kept its operating system iOS and app stores under the status of gatekeepers while subjecting it to various obligations to ensure fair competition in the tech landscape.

The rules are stipulated in the EU Digital Markets Act (DMA), mentioning the list of “dos and don’ts” for big tech. In the case of any non-compliance, the companies could face fines as much as 10 percent of a company’s global annual turnover.

Since its implementation in 2023, the DMA also drew legal responses from various tech firms including Apple, Meta and ByteDance.

The new ruling will reinforce the position of EU antitrust regulators in the face of Apple’s growing criticism over these regulations.

"The General Court dismisses Apple's actions regarding its ​designation as a gatekeeper in relation to the App Store and iOS," the tribunal said.

"Irrespective of the devices in question, those stores have the same purpose, namely to connect ​app developers with end ​users in order to facilitate ⁠the distribution of software applications," judges added.

The tribunal also reiterated the inadmissibility of Apple’s action regarding the iMessage service.

In response to the ruling, Apple issued a statement citing that the decision to uphold DMA erodes privacy protections.

"We firmly believe the DMA's mandate goes beyond what is lawful and proportionate, threatening to erode decades of privacy and security protections we've built ​and leaving our users vulnerable to new risks," an Apple spokesperson said.

Apple also affirmed its commitment to advocate for the innovation and privacy of customers.

Despite the ruling, the company still has an opportunity to file an appeal in Europe’s court, the Court of Justice of the European Union.

The legal challenge started in 2024 when the EU Commission put all its five App Stores on iPhones, iPads, Mac computers, Apple TVs and Apple Watches as a single platform service under the DMA.