French Competition Watchdog to Fine Apple for Its Anti-Competitive Behavior

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Apple is going to be fined for its anti-competitive behavior in its distribution and sales network by France’s competition watchdog. As per the sources, the competition authority will announce its final decision on Monday.

The competition watchdog Directorate General for Competition, Consumption, and the Repression of Fraud (DGCCRF)was investigating Apple for violating French competition law through its sales and distribution practices. Apple had talked about this investigation in its October 2019 filing with the SEC and noted that a fine may be included in the final decision.

In June 2019, the French Competition Authority (FCA) issued a report alleging that aspects of the Company’s sales and distribution practices in France violate French competition law. The Company vigorously disagrees with the allegations, and a hearing of arguments was held before the FCA on October 15, 2019. The Company is awaiting the decision of the FCA, which may include a fine.

As of now, it is unclear what anti-competitive behavior the DGCCRF is talking about. This should become clear once it releases its final report on Monday next week.

The DGCCRF had earlier fined Apple 25 million euros ($28 million) for slowing down older iPhones via software updates and failing to inform users about it. Apart from the fine, Apple was also ordered to run a banner on its website in France for a month with a banner about the fine it had to pay to the DGCCRF for its deceptive business practices.

[Via Reuters]