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Russia threatens Apple with $52 million fine over alleged app discrimination

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Why This Matters

Russia's threat to fine Apple for not preinstalling state-backed apps highlights ongoing tensions between tech companies and government regulations worldwide. This situation underscores the challenges global tech firms face in balancing compliance with local laws and maintaining user choice. For consumers, it signals potential changes in app availability and device configurations in Russia, impacting user experience and privacy considerations.

Key Takeaways

Apple is once again being required to preinstall Russian apps on devices sold in the country, or face a fine of up to $52 million. Here are the details.

Russia sets July 15 deadline for Apple

As reported by Reuters, Russia’s Federal Antimonopoly Service is accusing Apple of “discriminatory ⁠practices against Russian ​search engines and ​software,” and threatening a 4 billion roubles ($51.6 million) fine unless the company “fails to remedy ​the violations ​by ⁠July 15.”

The news comes nearly a year after the Russian government introduced a rule requiring all phones and tablets sold in the country to ship with MAX, its state-backed messaging app, preinstalled.

Initially, Apple hadn’t been affected, as it had halted official product sales in Russia in March 2022, due to Russia’s invasion of Ukraine.

But now, Russia is threatening to slap Apple with a multimillion-dollar fine unless it complies with the requirement, though Reuters’ report does not specify how the company would be expected to implement it.

The move comes just days after Russia demanded an explanation from Apple for removing several apps developed by state-controlled tech company VK from the U.S. App Store.

Following the removal, a Kremlin spokesperson told Reuters that if Apple didn’t explain, the country would” ​need to draw conclusions accordingly regarding the continuation of any cooperation with this company.”

This isn’t the first time Apple has faced government pressure to preinstall a state-backed app.

Last year, India ordered smartphone makers to add its Sanchar Saathi cybersecurity app to new devices and push it to existing phones through software updates, a demand that Apple also refused. The mandate was dropped days later following widespread backlash.

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