apple announced today that it will offer digital subscriptions to newspapers and magazines on ipad devices exclusively through applications apps sold via its online store
publishers will still be able to offer online subscriptions through their websites or by other means but they will no longer be able to process the subscription via an app on an iphone using apple as an intermediary
whether apple's behaviour constitutes a violation of the eu competition rules depends on a range of factual legal and economic elements
it requires that apple holds a dominant position in the relevant market
the boundaries of such relevant markets are not clear as the sector is still relatively new and evolving and as there are also several comparable platforms and devices that provide similar functionalities some of which are supported by online application stores as the consumer demand for electronic and or print magazines is unclear and evolving
once the market has been properly identified the question of dominance would have to be assessed
dominance has been defined by the european court of justice as a position of economic strength enjoyed by an undertaking which enables it to hinder the maintenance of effective competition on the relevant market by allowing it to behave to an appreciable extent independently of its competitors and customers and ultimately of consumers
the commission notes in particular that alternative application platforms exist and several companies have recently launched or are expecting to launch in the near future a number of devices similar in terms of functionality to the ipad
the commission is following the developments regarding apple's commercial policies and is in close contact with the national competition authorities
