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Brazil Orders Apple to Ease App Store Payment Restrictions

On May 14, Brazilian antitrust regulator CADE voted unanimously to maintain a provisional measure requiring Apple to loosen restrictions on how iOS developers offer services and handle payments in their apps. The measure follows a 2022 investigation prompted by a complaint from Mercado Libre.

App Store Restrictions Under Scrutiny

Apple’s policy requires iOS developers to use its in-app payment system, which charges up to 30% in commissions and prohibits developers from informing users about alternative payment methods. CADE’s technical staff concluded that this practice violates Brazil’s competition laws by restricting consumer choice and disadvantaging developers.

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The ruling extends the compliance deadline to 90 days, up from the original 20 days set in November 2023, and requires Apple to allow alternative payment methods and give developers more freedom in communicating with users.

In his remarks on Wednesday, CADE’s lead councilor Victor Oliveira criticized Apple’s defense as “inconsistent,” arguing that the company selectively enforces its rules, which he described as a “tying strategy” that distorts competition. He also referenced similar antitrust cases involving Apple in the U.S., Japan, the Netherlands, and the United Kingdom.

“The justifications Apple has presented so far don’t hold up,” Oliveira said, noting that some apps are exempt from the full 30% commission.

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