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In a significant development under the Digital Markets Act (DMA), the European Union has designated Apple’s iPad operating system (iPadOS) as a gatekeeper, alongside other tech giants like Google, Microsoft, Amazon, Meta Platforms, and ByteDance, which control access to their platforms.
This move underscores the EU’s efforts to regulate the behavior of dominant players in the digital ecosystem and ensure fair competition.
Apple iPad Operating System Identified as Gatekeeper:
Following an investigation initiated in September last year, the European Commission identified iPadOS, Apple’s browser Safari, and its App Store as gatekeepers.
This designation reflects iPadOS’ pivotal role in facilitating access to customers for numerous companies, particularly in the business sphere.
Significance of iPadOS for Business Users:
EU antitrust chief Margrethe Vestager highlighted the importance of iPadOS as a gateway for many companies to reach their customers.
Despite not meeting certain thresholds, businesses’ widespread reliance on iPadOS underscores its significance in the digital marketplace, prompting its designation as a gatekeeper under the DMA.
Vestager emphasized the findings of the market investigation, revealing that iPadOS plays a crucial role as a gateway for businesses, justifying its designation as a gatekeeper.
The decision reflects the EU’s commitment to ensuring fair competition and stopping anti-competitive practices in the digital sector.
Quantitative Analysis and Thresholds:
The European Commission’s analysis revealed that Apple’s business user numbers exceeded the quantitative threshold by a significant margin, while end-user numbers approached the threshold and were expected to increase further.
This quantitative assessment supported the decision to designate iPadOS as a gatekeeper.
Apple Response and Compliance:
In response to the designation, Apple intended to engage constructively with the European Commission to comply with the DMA across all designated services.
The company has six months to ensure compliance with the regulations outlined in the DMA.
Potential Penalties Under DMA:
Breaches of the DMA regulations could result in significant fines, with companies facing penalties of up to 10% of their global annual turnover.
The designation of iPadOS as a gatekeeper underscores the EU’s determination to enforce regulatory measures to promote fair competition and safeguard consumer interests in the digital marketplace.
