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Brazil’s antitrust regulator, CADE, ordered Apple to lift in-app payment restrictions, following a complaint from MercadoLibre, with a daily fine for non-compliance.
This decision follows an investigation into a complaint filed by Latin American e-commerce giant MercadoLibre, according to Reuters.
Brazil's antitrust regulator Cade orders Apple $AAPL to lift restrictions on in-app purchases, allowing developers to use external payment systems and add hyperlinks to external websites, or face a daily fine of 250,000 reais ($43,000).
— AS Research (@alertscreener) November 26, 2024
MercadoLibre filed a complaint in 2022 in Brazil and Mexico, accusing Apple of imposing restrictions on the distribution of digital goods and in-app purchases. The complaint alleged that Apple blocked apps from offering third-party digital content, including video games, movies, music, and books. MercadoLibre’s complaint also criticized Apple for requiring developers to use its own payment system for in-app digital goods and services while prohibiting them from redirecting users to external websites.
In 2023, Brazil’s antitrust regulator, Conselho Administrativo de Defesa Econômica (CADE), began reviewing a complaint, and a ruling was issued on November 25.
CADE ordered Apple to permit developers to include tools for customers to purchase services or products outside the app, such as through hyperlinks to external websites. The company was also instructed to allow alternative in-app payment options beyond its own system.
Apple has 20 days to comply, and it will be fined 250,000 reais (about $43,000) for each day of non-compliance.
The company may need to revise its App Store strategy if more regulators push for rule changes.
Recently, India’s Competition Commission (CCI) rejected Apple’s attempt to block an investigative report accusing the company of violating competition laws. The report found that Apple’s dominance in the app store market harmed developers and users. If Apple is found guilty, the case will proceed, with potential penalties.
