Apple has lost an appeal against a German court ruling that will subject the company to stricter regulatory controls.
The Federal Court of Justice upheld the German cartel office’s 2023 designation of Apple as a “company of paramount cross-market significance for competition,” which places the tech giant alongside other major companies like Google’s parent Alphabet and Meta in facing potential measures aimed at curbing their market dominance.
The court’s decision follows years of debate over Apple’s market position in Germany, where regulators have raised concerns about its influence on competition. Apple disagreed with the ruling, arguing that it overlooks the importance of its business model, which prioritizes user privacy and security.
In a preliminary ruling in January, the court had indicated its intention to support the German regulator’s stance, and on Tuesday, it further declined to seek consultation from the European Court of Justice in Luxembourg, as requested by Apple’s legal team. This decision solidifies the ongoing scrutiny Apple faces, particularly in regard to its App Store practices.
European regulators have previously flagged concerns about the data Apple collects on user behavior and its potential impact on competition.
The German cartel office welcomed the court’s decision, with President Andreas Mundt stating that it ensures Apple will face stricter abuse control. Mundt further noted that the office’s review of Apple’s policies, particularly those governing third-party app tracking, will proceed on solid ground as they continue their investigation into Apple and other large tech companies.
