According to a story that Bloomberg News published on Wednesday, Apple (AAPL.O) is anticipated to be subject to a prohibition on its App Store guidelines that control some music-streaming services, as well as a potential large penalty from the regulatory authorities of the European Union.
According to the article, which cited individuals who are aware of the inquiry, EU regulators are putting the finishing touches on a judgment that would prevent Apple’s practice of prohibiting music providers from driving their consumers away from the App Store and toward alternative subscription alternatives.
According to Bloomberg, the judgment is expected to be made at the beginning of the following year, and Apple may be subject to a punishment equal to as much as ten percent of its yearly revenue.
Spotify Technology (SPOT.N), a Swedish company, filed a complaint almost four years ago, claiming that it was compelled to increase the price of its monthly subscriptions to meet costs related to Apple’s App Store regulations. This complaint started the investigation.
At the beginning of this year, the European Commission submitted a charge sheet against Apple, stating that the requirements must be eliminated because they are superfluous and might result in users paying more.
Reuters requested Apple’s comment but did not receive one immediately. A spokeswoman for the European Commission declined to comment on the matter. During the afternoon trading session, Apple shares showed a little increase.