The European Commission Designates iPadOS as a Gatekeeper Service Under Digital Markets Act

In a recent development, the European Commission has designated Apple’s iPad operating system, iPadOS, as a Gatekeeper service under its flagship Digital Markets Act (DMA) rules. This decision comes after an almost eight-month investigation into whether iPadOS holds enough market power to warrant stricter regulation.

The Commission’s conclusion that iPadOS constitutes an important gateway for business users to reach end users is significant. This designation means that Apple now has six months to ensure full compliance with the DMA obligations as applied to iPadOS. Failure to comply could result in fines of up to 10 percent of its global revenue, or up to 20 percent for repeat infractions.

The investigation found that iPadOS users are locked into the platform, with business users exceeding the quantitative gatekeeper threshold by eleven times. Additionally, end user numbers are close to the threshold and predicted to rise in the near future. This demonstrates the importance of iPadOS as a gateway for companies to reach their customers.

While Apple’s iOS mobile operating system, Safari browser, and App Store were already designated as Gatekeeper services under the DMA, the compliance changes introduced to iOS have not been extended to iPadOS. Despite similarities between the two platforms, iPadOS is now facing its own set of regulations under the DMA.

The latest ruling on iPadOS marks another crack in the walled garden of Apple’s ecosystem. While iMessage may have been spared from DMA compliance, the designation of iPadOS as a Gatekeeper service showcases the regulatory scrutiny Apple is facing in Europe. This decision comes at a critical time for Apple, just before its next event where iPads are expected to be a focal point.

The European Commission’s designation of iPadOS as a Gatekeeper service under the Digital Markets Act marks a significant development in the tech industry. Apple will need to ensure compliance with the new regulations within the specified timeframe to avoid potential fines. This decision highlights the increasing regulatory scrutiny faced by tech giants like Apple and the impact it can have on their operations.