- If upheld, Brazil will become the second major market forcing Apple to adopt a more open mobile ecosystem.
- The tech giant has 90 days to allow third-party app stores on iOS in Brazil or face daily fines exceeding $40,000.
- Apple plans to appeal, arguing that CADE's measures threaten user privacy and security.
Apple is once again under regulatory pressure, as the Brazilian Court has ruled that Apple must allow app sideloading on their iOS devices within 90 days in Brazil. This decision follows the European Union’s Digital Market Act, which recently forced the tech giant to allow third-party app stores and sideloading in the region.
Apple might face daily fines exceeding $40,000 or be forced to allow sideloading if the ruling stands
In November 2024, the Administrative Council for Economic Defence (CADE) ruled that Apple must lift restrictions that prevent iOS users from installing apps from sources outside the App Store in Brazil. However, Apple’s appeal granted the company additional time to contest the decision.
According to Valor Econômico‘s report, Federal Judge Pablo Zuniga has now given the tech giant 90 days to allow third-party app stores on iOS in Brazil or face daily fines surpassing $40,000. The judge also reinstated an injunction from Brazil’s antitrust authority, CADE, overturning a previous ruling.
Judge Zuniga emphasized, “Apple has already complied with similar obligations in other countries without demonstrating significant impact or irreparable harm to its economic model,” and extended the CADE’s initial 20-day deadline to 90 days as it “requires some planning and technical development.“
This antitrust case against the tech giant began in 2022 after Latin American e-commerce giant Mercado Libre filed a complaint, accusing the company of abusing its market dominance by forcing devs to use its payment system for digital goods and services.
Apple’s response to the new ruling
Apple Spokesperson, Fred Sainz reaffirmed Apple’s stance, stating, “Apple believes in vibrant and competitive markets where innovation can flourish,” adding, “We face competition in every segment and jurisdiction where we operate, and our focus is always the trust of our users.“
Apple plans to appeal the decision, with Mr. Sainz arguing that, “the interim measures proposed by CADE would undermine the privacy and security of our users.” With this development, if upheld, Brazil would become the second major market pushing for a more open mobile ecosystem after the EU.
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