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Looking at EU Apple

The EU are currently looking into the contracts imposed by Apple on the networks that sell their products. This has come about due to informal complaints made to the EU’s competition commissioner regarding the technology giant and how they conduct their business.

It isn’t currently unknown which of the telecoms operators have voiced their concerns over the iPhone manufacturers practices but it is believed the complaints centre around Apple’s regulation that if a certain quota of iPhone aren’t sold in a given timeframe, then Apple can step in and take over the telecoms marketing pursuits. Not only does that impose on the telecoms company itself, but Apple will also charge the company for their marketing expertise after doing so. Concerns have rightly risen surrounding this regulation because companies fear what will happen if Apple release a product that doesn’t perform as they expect it to in the market. With the recent Apple iPhone 5 not receiving as much positive press as other models have in the past, it becomes a very real concern for networks with consumers keeping a close eye on what Apple will release next.

It is reassuring to know that consumers are at the heart of what the competition commissioner is attempting to do however. The commissioner himself, Joaquin Almunia, said “The commission is currently looking at this situation and, more generally, is actively monitoring market developments. We will intervene if there are indications of anti-competitive behaviour to the detriment of consumers.” Apple have of course responded to the allegations, citing that “our contracts fully comply with local laws wherever we do business, including the EU.”