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Apple pays S$18.2m fine to Russia

MOSCOW — Apple paid a US$13.6m (S$18.2m) fine to the Russian government over Moscow's claims it abused its dominant position in the mobile app market, the country's competition watchdog said Monday (Jan 22).

People pass by an Apple store at the State Department Store, GUM, in central Moscow on April 27, 2021.

People pass by an Apple store at the State Department Store, GUM, in central Moscow on April 27, 2021.

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MOSCOW — Apple paid a US$13.6m (S$18.2m) fine to the Russian government over Moscow's claims it abused its dominant position in the mobile app market, the country's competition watchdog said Monday (Jan 22).

The United States (US) iPhone-maker halted sales and limited services in Russia shortly after Moscow launched its full-scale military offensive in Ukraine in February 2022.

Russia's federal anti-monopoly service (FAS) fined Apple 1.2b rubles (S$18.2m) in July 2022, saying the company had banned apps from informing customers about the option to make purchases outside its official App Store.

Following a years-long legal battle in the US, Apple said last week it will begin allowing iPhone app developers to use alternative payment systems, and European Union (EU) legislation due to come in force will also require Apple to allow payments outside of its ecosystem.

A Russian court last year rejected an appeal by Apple over the fine.

"On 19 January 2024, Apple paid the fine. The funds were transferred to the Russian Federation's budget," Russia's FAS said in a statement on Monday.

Moscow has issued dozens of fines against Western tech companies since it sent troops into Ukraine — usually over platforms' refusal to delete content that Russia says violates its laws against spreading "false information" or "discrediting the armed forces."

Apple suspended product sales and disabled Apple Pay in Russia days after Moscow ordered its troops into Ukraine. It has also removed the apps of several Russian news outlets and social media platforms from its global App Store.

Russia was already targeting Western tech companies before its Ukraine offensive as part of a drive to reduce the country's reliance on foreign products and software.

Apple paid a 906m ruble fine to Russia last February, over a case started in 2020 regarding claims it had blocked a competitor's product from being added to its App Store. AFP

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