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France to take legal action against Google, Apple

14 March 2018, 11:20 | Cameron Gross

France to Sue Google, Apple Over 'Abusive Trade Practices' - Economy Minister

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According to le Maire, Apple and Google should not take advantage of French startups the way they are doing right now. the legal action is said to take place in the Paris commercial court.

France will sue Apple (NASDAQ:AAPL) and Google (GOOG, GOOGL) for abusive practices against developers.

Among the contractual terms in question, the DGCCRF mentions in its statement the imposition of price brackets within which developers must fix the tariffs paid by end-users, the threat of unilateral termination of contract, and the ability to exploit data owned by developers with no reciprocity.

The proposal was aimed at tech giants, like Google and Facebook, with revenues above 750 million euros ($928 million) worldwide and with digital revenues in the European Union of at least 10 million euros in a tax year.




"I consider that Google and Apple, as powerful as they are, shouldn't treat our startups and our developers in the way they do today", said Le Maire.

The country might also seek the elimination of these unilateral contract terms and standardized commissions, which could create significant headaches for both Google and Apple.

Representatives for Apple and Google couldn't immediately be reached for comment.

Le Maire will file the suit before the Paris Commercial Court and thinks the resulting fines could add up to "several million euros". "When our developers want to sell their app on Google or Apple, the fees are imposed on them", Mr. Le Maire said. The findings of a similar investigation into Amazon are being reviewed by a tribunal.



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