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German Court Upholds Stricter Oversight of Apple by Competition Authority

The Federal Court of Justice confirms Apple’s classification as having 'overarching market significance,' clearing the way for regulatory scrutiny of its business practices.

  • The Federal Court of Justice (BGH) has upheld the Bundeskartellamt’s 2023 decision to classify Apple as a company with 'overarching market significance for competition.'
  • This final ruling allows the Bundeskartellamt to impose restrictions on Apple’s practices deemed harmful to competition, such as preferential treatment of its own apps.
  • The decision is rooted in a 2021 reform of Germany’s Competition Act, which enables preemptive action against companies with significant cross-market influence.
  • Ongoing investigations include Apple’s app tracking rules, which allegedly favor its own apps over third-party alternatives by exempting them from user consent requirements.
  • Apple criticized the ruling, emphasizing its commitment to user privacy and security, while the Bundeskartellamt welcomed the strengthened legal foundation for its regulatory efforts.
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