Italy Opens Investigation Into Apple Over Cloud Competition Under EU Digital Markets Rules

Italy Opens Investigation Into Apple Over Cloud Competition Under EU Digital Markets Rules

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Key Takeaways
  • Italy Targets Apple's Cloud Interoperability Practices: The Italian Competition Authority has opened an investigation into whether Apple is complying with Digital Markets Act requirements governing interoperability between iOS, iPadOS, and third-party consumer cloud services.
  • Full Device Backup Access Under Scrutiny: Regulators indicated that alternative cloud providers may be unable to access features that allow full-device backups on Apple devices, while those same capabilities appear to be available to Apple's iCloud service.
  • DMA Requires Equal Access for Rivals: Under Article 6(7) of the Digital Markets Act, Apple must provide third-party consumer cloud providers with free and effective interoperability and access to the same hardware and software features available to iCloud under equivalent conditions.
  • First Use of Italy's DMA Investigatory Powers: The case marks the first time the Italian Competition Authority has exercised powers granted under Italy's implementation of the Digital Markets Act to support DMA enforcement efforts.
Deep Dive

Apple's cloud business has become the latest test case for Europe's digital competition rules. Italy's Competition Authority said it has opened an investigation into Apple over whether the company is giving rival consumer cloud providers the same access to iPhone and iPad features that it reserves for its own iCloud service.

At the center of the inquiry is a deceptively simple question: can a competing cloud provider do everything iCloud can do on an Apple device? Italian regulators are not convinced the answer is yes.

According to the authority, preliminary indications suggest that third-party cloud providers may be unable to access certain hardware and software functionalities available to Apple's own service. One example cited by the regulator concerns full-device backups. Apple appears to allow iCloud to use features within iOS and iPadOS that enable users to create complete backups of their devices, while alternative cloud services do not appear to have access to those same capabilities.

That distinction matters because the European Union's Digital Markets Act was written to prevent designated "gatekeepers" from using control of critical platforms to favor their own services. Under Article 6(7) of the law, Apple must provide third-party consumer cloud providers with free and effective interoperability with iOS and iPadOS and grant access to the same hardware and software features available to iCloud under equivalent conditions.

A New Tool for National Authorities

The case is notable for another reason. It marks the first time Italy's Competition Authority has exercised powers granted under the country's implementation of the Digital Markets Act. While enforcement authority under the DMA rests with the European Commission, national competition authorities can assist through preliminary investigations and fact-finding efforts. Italy received those powers through legislation adopted at the end of 2023 as part of broader measures supporting implementation of the EU regulation.

The authority said the investigation was launched in close cooperation with the Commission and that its findings will be shared with Brussels. For Apple, the case touches on one of the most sensitive questions surrounding the DMA: whether interoperability means access to interfaces on paper or genuine parity in practice.

Many of the most consequential battles under the DMA have revolved around features that users rarely see but which shape how digital ecosystems function. Backup services, device integrations, default settings, authentication systems, and background operating functions can determine whether a rival product competes as a genuine alternative or remains a substitute with obvious limitations.

That appears to be where Italian regulators are focusing their attention. The investigation does not determine that Apple has violated the DMA. It does, however, signal that regulators are beginning to move from broad debates about interoperability to the far more technical question of what equal access actually looks like inside the world's most tightly controlled digital ecosystems.

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