Regulators in the European Union are now demanding an explanation from Apple regarding its ban on Epic Games from opening an online store, claiming that this action may be illegal.
On March 7, Apple declared it is terminating Epic Games Sweden’s developer account globally, citing the game maker’s persistently dishonest behavior. Apple claimed that due to contractual violations, courts had already given Apple the right to terminate any Epic subsidiary’s account.
Epic viewed Apple’s move as evidence of the company’s refusal to permit competition on its platform and denounced it as a breach of competitive principles. According to the company, Apple took this measure to get rid of a significant potential competitor of the App Store.
Apple vs. Epic Games
In August 2020, Apple first banned an Epic Games developer account for violating App Store policies. After years of legal wrangling, Epic Games requested a new developer account because the EU mandated that Apple let third-party app shops in its region.
Epic Games was one of the first companies to announce plans to create an EU-only third-party App Store competitor. However, when Apple turned down that request for a developer account, Epic Games was completely blocked from returning to the iPhone.
In a statement to Reuters, Apple stated that Epic Games has a history of breaching agreements it has previously made. However, in a statement to Reuters, EU officials claim that this is insufficient, and they have now written to Apple demanding an explanation for its conduct.
Although the EU might have always questioned Apple about its conduct, the timing of this request is noteworthy since it coincides with the DMA’s implementation, a new regulation intended to limit the influence of the largest online platforms, which goes into effect on March 7, 2024.
Apple’s competitors have previously accused the company of non-compliance, and the EU now possesses the regulatory power to penalize the company for it.