The General Court of the European Union has rejected Apple’s challenge to its designation as a ”gatekeeper” under the EU’s Digital Markets Act (DMA). This ruling forces Apple to maintain its current platform rules, open parts of iOS to competitors, and handle user data more cautiously. The court sided with the European Commission, affirming its legal framework for regulating Apple’s App Store and iOS ecosystem.
At the heart of the dispute was how to define the App Store’s audience. Apple argued that app stores on iPhone, iPad, Mac, Apple TV, and Apple Watch are separate services because they target different devices and users. The European Commission and the court disagreed, viewing these as one unified platform for regulatory purposes.
In the EU, ”gatekeeper” status applies to major digital platforms exceeding specific thresholds: annual EU revenue of €7.5 billion or a market cap over €75 billion, serving at least 45 million monthly active users, and 10,000 business users within the bloc. Besides Apple, firms like Google, Meta*, Amazon, Microsoft, and ByteDance also meet these criteria.
The DMA targets Apple’s traditional App Store model by banning platforms from favoring their own services, restricting data sharing between products without explicit consent, and mandating support for alternative app stores and direct app installs from developer websites. Apple has already implemented some changes in Europe but often remains under scrutiny and regulatory pressure over details.
Apple’s legal challenge against the EU gatekeeper rules
This isn’t Apple’s first legal pushback against the stringent DMA rules. Earlier in 2024, Apple contested the very framework the EU uses to regulate major digital platforms but lost. A key point of contention was also the Safari browser, where Apple argued it should be considered as separate services across devices rather than as one ecosystem-spanning app.
Apple’s logic is clear: the narrower the regulatory definition of a service, the easier it is to avoid DMA thresholds. Splitting the App Store by device could make each platform appear smaller and exempt from the toughest obligations. The court, however, backed the Commission’s broader view that for users, these are all part of Apple’s integrated ecosystem, not isolated shops.
This decision sets an important precedent. The DMA came into force in 2024, and rulings like this indicate courts’ readiness to interpret the rules strictly. An Apple win might have encouraged other platforms to divide services by device, region, or function to dodge gatekeeper status. The court’s ruling makes such strategies less viable.
Apple faces pressure from the EU not just via DMA but also over App Store commissions, developer terms, and music streaming policies. The European Commission’s hefty €1.84 billion antitrust fine related to Apple’s music services highlighted Brussels’ willingness not only to regulate but also to impose huge financial penalties that go beyond routine compliance costs.
The stakes are high financially: under the DMA, the Commission can fine violators up to 10% of their global annual revenue, escalating to 20% for repeat offenses. With Apple’s global revenue hitting over $390 billion by the end of its 2024 fiscal year, the potential fines could reach staggering amounts. While such extreme penalties are rare, the scale explains why Apple fights over every detail in defining its services.
Now Apple has less wiggle room to argue that its platforms should be counted separately. The focus will shift to whether the EU is satisfied with the changes Apple has already made to iOS and the App Store or if fresh investigations and demands are coming. Expect Brussels to closely monitor how gatekeeper companies implement DMA rules in their user interfaces, fees, and default settings over the coming months.
*Meta is classified as an extremist organization in Russia and banned from operating there.