The Netherlands’ top competition regulator said Apple Inc (AAPL.O) violated the country’s competition laws on Friday and ordered the iPhone maker to adjust its App Store payment practices.
Regulators and lawmakers throughout the world have questioned Apple’s practice of mandating app developers to utilize its in-app payment system and pay commissions of 15% to 30% on digital goods purchases.
In 2019, the Netherlands’ Authority for Consumers and Markets (ACM) initiated an investigation into whether Apple’s conduct amounted to an abuse of a dominant market position. However, it was later narrowed in scope to focus solely on dating apps, including Tinder’s parent company Match Group Inc. (MTCH.O).
“We disagree with the order issued by the ACM and have filed an appeal,” Apple said in a statement. It added that “Apple does not have a dominant position in the market for software distribution in the Netherlands, has invested tremendous resources helping developers of dating apps reach customers and thrive on the App Store.”
Apple’s regulatory setback in the Netherlands comes after the iPhone maker lost a legal battle in South Korea to overturn legislation requiring large app platform providers, such as Apple and Alphabet Inc’s Google (GOOGL.O), to allow developers to use third-party payment services.
Google has stated that it will accept such payments, but that it will charge a commission. Apple has remained tight-lipped about its compliance efforts in Korea.
Apple is facing legislation in the European Union and the United States that would require it to adjust its in-app payment methods and other business practices that developers find objectionable.
