EU Orders Apple to End Geo-Blocking on Digital Services

The European Union has formally instructed Apple to halt its practice of geo-blocking on several digital services, including its App Store, Apple Arcade, Music, iTunes Store, Books and Podcasts. According to Reuters, the directive was issued by the European Commission on Tuesday, signaling mounting scrutiny over how the tech giant restricts access to digital content based on geographical location.

The European Commission, along with the EU’s Consumer Protection Network, stated that it identified several instances of potentially prohibited geo-blocking within Apple’s digital ecosystem. This practice, which restricts users’ access to content based on their location, has long been standard on Apple’s platforms but is now under the microscope as EU authorities push for compliance with EU laws designed to prevent discrimination against consumers.

European Commissioner Margrethe Vestager emphasized the broader goals behind the EU’s stance on geo-blocking. “We are stepping up the fight against geo-blocking,” she said, stressing that companies, regardless of size, should not unjustly discriminate against customers based on nationality, residence, or establishment.

Compliance Required Within a Month

Apple has been given a one-month deadline to propose solutions addressing the Commission’s concerns about geo-blocking on its services. The EU warned that if Apple does not offer adequate commitments within this timeframe, enforcement actions could be initiated by national regulators in member states. In an official press release, the European Commission made it clear that it expects Apple to cease this discriminatory practice, highlighting that restricting access to content in this way could infringe upon EU regulations.

EU’s Geo-blocking and Services Regulations

At the heart of the issue is the EU’s Geo-blocking Regulation, which prohibits “unjustified discrimination” against EU consumers based on nationality, residence, or place of establishment. The regulation aims to promote fair and equal access to goods and services across member states. Similarly, the Services Directive includes provisions that safeguard against nationality-based discrimination in the delivery of digital services.

Related: EU Set to Fine Apple in First Major Enforcement of Digital Markets Act

Geo-blocking on Apple’s platforms has typically meant that content, apps, and services are often limited or modified according to regional and national borders, restricting users’ access to a full range of content based on their location. The EU’s directive underscores a commitment to dismantling barriers that fragment digital services across the bloc, as part of a broader effort to unify the single market.

Apple’s History of EU Regulatory Challenges

This is not the first time Apple has found itself navigating EU-imposed regulations. As per Reuters, Apple has already adapted to various EU mandates that shape how it designs and distributes its products within the region. For instance, in response to a 2022 regulation mandating the use of USB-C for charging ports on electronic devices by the end of 2024, Apple integrated USB-C into its iPhone 15 lineup in 2023—a change largely viewed as a compliance move aimed at reducing e-waste.

Additionally, the EU has compelled Apple to open its operating system to third-party app stores and sideloading of apps on iPhones sold in Europe, a move designed to foster competition and reduce the dominance of Apple’s App Store monopoly in the region.

As Apple faces yet another regulatory hurdle, the company’s response could set a precedent for how major tech firms manage regional restrictions on digital content.

Source: Reuters