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The Federal Antimonopoly Service Of Russia Recognized Apple As Abusing Its Dominant Position In The App Market

The Federal Antimonopoly Service Of Russia Recognized Apple As Abusing Its Dominant Position In The App Market

The Federal Antimonopoly Service of Russia (FAS) found Apple guilty of abusing its dominant position in the app market, the Agency said in a statement.

A year ago, the FAS initiated a case against Apple based on a complaint from Kaspersky Lab.

"The FAS Commission found that Apple abused its dominant position in relation to developers of mobile applications of parental control and restricted competition in the market for distributing applications for mobile devices running the iOS operating system," the service said in a statement. The violation was also expressed in the fact that Apple has established the right to reject and not allow any third-party app in the App Store, even if it meets all the requirements. The company will be issued an order to eliminate violations.

In turn, Apple does not agree with the FAS decision on the company's dominance in the app market and will appeal.

On August 10, 2020, the antitrust case brought against Apple Inc.ended. (Apple's parent company, USA) at the request of Kaspersky Lab JSC.

During the investigation, it was found that Apple occupies a dominant position with a 100% share in the market for distributing mobile apps on the iOS operating system since it is only possible to install such an app legally from the App Store.

Since October 2018, Apple has been implementing a consistent policy to restrict tools and capabilities for developing parental control applications. As a result, most of the functionality of third-party apps have been lost.

The implementation of this time policy coincided with the release of the company's own pre-installed "Screen time" application, which has functionality similar to that of parental control applications.

The FAS Commission of Russia found that Apple abused its dominant position in relation to developers of mobile parental control applications and restricted competition in the market for distributing applications for mobile devices running the iOS operating system.

The violation also resulted in Apple reserves the right to reject or exclude any third-party app from the App Store, even if it meets all Apple's requirements.

Apple will be issued an order to correct the violation.

"Access to the App Store is the only opportunity for app developers to distribute their products on the iOS operating system, and it is extremely important to create non – discriminatory market access conditions to ensure competition," said Alexey Dotsenko, Deputy head of the FAS of Russia.

Note:

According to part 1 article 10 of the Law on the protection of competition prohibits actions (omissions) of a dominant economic entity which result or can be the prevention, restriction, elimination of competition and (or) infringement of interests of other persons (economic entities) in business activities or of indefinite range of consumers.

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