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Spanish antitrust authorities launch investigation into App Store

The Spanish National Markets and Competition Commission, or CNMC, has launched an investigation into Apple’s App Store. The investigation is looking into potential anti-competitive behavior on Apple platforms.

The CNMC began its investigation last week, alleging that Apple may be abusing its dominant position to impose unfair commercial terms on app developers. This could violate Spanish competition law, as well as Article 102 of the Treaty on the Functioning of the European Union. Apple traditionally charges a 30% commission to all App Store developers earning more than $1 million per year, and a lower 15% commission to smaller developers.

In January, Apple announced a number of alternative terms for EU developers, allowing them to opt for a lower 10-17% commission (plus 3% if they choose to use the App Store payment processor). There’s one caveat, though, as there’s a base technology fee of €0.50 per user for apps with over a million installs per year if you choose to use these alternative terms.

Apple denied the accusations of unfair trading terms in a statement to Reuters. An Apple spokesperson said that “Spanish developers of all sizes compete on a level playing field in the App Store” and that the company “will continue to work with the Spanish Competition Authority to understand and address their concerns.”

Earlier this year, the European Union fined Apple $2 billion, and if it is found to have violated Spanish competition law, the company could face fines of up to 10% of its profits in the year preceding the fine.

Although the investigation only recently began, the CNMC has 24 months to investigate Apple and make a final decision.

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