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Apple halts rollout of features in EU due to ‘regulatory uncertainties’

5 months ago 21

Apple is halting the rollout of three new features in the European Union, citing “regulatory uncertainties” caused by the Digital Markets Act (DMA), the tech giant announced on Friday (21 June).

Apple introduced new features to its latest operating system iOS18 two weeks ago, including Apple Intelligence, a suite of AI-driven tools and technologies, and a partnership with OpenAI, aiming to ingrate ChatGPT into Apple’s operating systems.

Three of these new features iPhone Mirroring, SharePlay Screen Sharing enhancements, and Apple Intelligence will not be rolled out in the EU.

The company is “concerned that the interoperability requirements of the DMA” could force them “to compromise the integrity of our products in ways that risk user privacy and data security,” an Apple representative told Euractiv on Friday.

iPhone Mirroring allows users to display their iPhone’s screen on another device, such as a computer or TV. SharePlay Screen Sharing enhancements improve the ability to share screens during FaceTime calls.

The landmark DMA targets digital competition by designating large platforms as gatekeepers, serving as vital gateways between business users and consumers that can create bottlenecks in the digital economy.

Under the DMA, Apple’s designated “gatekeeper” status requires it to ensure fair access and prevent practices that could stifle competition.

The Commission has labelled Apple a gatekeeper under the DMA for iOS and iPadOS.  The new fetures will also not be rolled out on MacOS due to the new iPhone Mirroring feature, the spokesperson said.

“Gatekeepers are welcome to offer their services in Europe, provided that they comply with our rules aimed at ensuring fair competition,” a Commission spokesperson told Euractiv.

The DMA and its processes are “quite flexible” and “can be updated if needed,” Commission spokesperson Lea Zubler said at a Tuesday (11 June) press conference, when asked by Euractiv about potential scrutiny of the Apple-OpenAI integration.

The beta versions of iPhone Mirroring and the expanded SharePlay screen sharing will still be available on Monday (24 June), with Apple Intelligence coming in a beta later this summer, according to Apple.

EU regulations vs. Apple

Apple’s relationship with the EU’s DMA has been challenging.

To comply with the DMA, Apple made changes to its App Store, including modifying rules and fee structures to create a fairer environment for developers, which was a much-criticized decision.

The conflict under the regulation was with Epic Games, which led to a legal battle over App Store practices. In the end, Apple allowed Epic Games to reintroduce its Fortnite game and its game store on iOS devices in Europe.

In March, the Commission also fined Apple €1.8 billion, alleging the tech giant abused its dominant position by exclusively distributing music streaming apps to iPhone and iPad users via its App Store.

[Edited by Alice Taylor]

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