Apple interoperability the focus of Digital Markets Act scrutiny

Last week, the Commission announced that it had, for the first time under the DMA, invoked two separate so-called ‘specification proceedings’ concerning Apple’s operating systems for its smartphones and iPad devices.

The Commission has the power to open specification proceedings in relation to services operated by gatekeepers under the DMA, in which it can specify measures that gatekeepers must implement in relation to those services to comply with certain requirements under the DMA – including rules on interoperability.

In Apple’s case, the first Commission specification proceeding is focused on the interaction between Apple’s iOS for smartphones and other connected devices like smartwatches and headphones. The Commission said it “intends to specify how Apple will provide effective interoperability with functionalities such as notifications, device pairing and connectivity”.

The second proceeding focuses on the process Apple operates for handling interoperability requests submitted by developers and third parties for both iOS and iPadOS. The Commission said it is “crucial” that the request process is “transparent, timely, and fair so that all developers have an effective and predictable path to interoperability and are enabled to innovate”.

Both proceedings relate to Apple’s obligations under Article 6(7) of the DMA.

Under Article 6(7), Apple is required to allow other providers of services or hardware effective interoperability with, and access for the purposes of interoperability to, the same hardware and software features accessed or controlled via its operating systems as are available to the services or hardware it provides, free of charge. Apple must also allow free “effective interoperability” for business users and alternative providers that rely on its ‘core platform services’, as iOS and IPadOS have been designated under the DMA, to provide their own services.

Apple can, however, take strictly necessary and proportionate measures to ensure that interoperability does not compromise the integrity of its operating systems, provided it can justify those measures.

The Commission has six months to conclude the two sets of proceedings it has triggered.

“In the course of these proceedings, the Commission will communicate its preliminary findings to Apple, where it will explain the measures the gatekeeper should take to effectively comply with the interoperability obligation of the DMA,” the Commission said in a statement. “A non-confidential summary of the preliminary findings and envisaged measures will be published to enable third parties to provide comments.”

“These proceedings are without prejudice to the powers of the Commission to adopt a decision establishing non-compliance with any of the obligations laid down in the DMA by a gatekeeper, including the possibility to impose fines or periodic penalty payments,” it added.

Apple is subject to separate investigation by the Commission under the DMA in respect of features of its app store and Safari browser.

Apple is also appealing a €1.8 billion antitrust penalty the Commission imposed earlier this year after finding that Apple had abused its dominant position in the market for the distribution of music streaming apps to iPhone and iPad users through its App Store.

Digital gatekeeper firms that were designated in September 2023 have had to fully comply with their DMA obligations since March this year, with the Commission actively monitoring compliance.

Separately, in the UK, a new digital markets competition regime will come into force in December 2024 or January 2025.  Established by the landmark Digital Markets, Competition and Consumers Act 2024, the new rules will be the UK equivalent of the EU’s DMA, and large technology firms that are designated by the Competition and Markets Authority as having “strategic market status” will be subject to tailored conduct rules in respect of their digital activities in the UK.