Brazil’s antitrust agency has directed Apple to remove restrictions on third-party payment systems in the App Store. Developers must be allowed to offer alternative payment methods for in-app purchases, with the company given 20 days to comply. If Apple fails to meet the deadline, it could face fines of $43,000 per day.
Complaint from MercadoLibre
This decision stems from a 2022 complaint by MercadoLibre, Latin America’s largest e-commerce platform. MercadoLibre accused Apple of exploiting its dominant position by mandating its own payment system and blocking developers from redirecting users to external payment platforms. The Brazilian regulator has now ruled that Apple must enable app developers to integrate tools that allow purchases outside the Apple ecosystem. This includes posting links to external websites and selling third-party products and services within their apps.
Broader Implications and Past Cases
Apple’s challenges in Brazil echo similar antitrust issues in the European Union, adds NIXSOLUTIONS. In March 2024, the European Commission fined the company $1.95 billion after Spotify filed a complaint. The EU decision addressed Apple’s prohibition on music streaming apps informing users about cheaper subscription options outside its ecosystem.
Brazil’s stance highlights growing regulatory pressure on Apple to provide fairer competition in digital marketplaces. We’ll keep you updated on further developments as Apple navigates compliance with these directives.