Apple is finally in Europe's hands, but it can still cope with the situation with some small means!
After the introduction of this bill in Europe, Apple gradually made concessions, not only providing a Type-C interface, but also allowing users to ** third-party programs and collect commissions, but Apple did not completely comply, but played some small tricks, so that app developers could not escape Apple's five fingers.
Under intense pressure from Europe, Apple has allowed users to access software from third-party software stores, but has placed special restrictions on software developers and users.
For app developers, Apple's commission for services to app stores and third-party app stores has been reduced from 30% to more than 10%, but Apple will not charge the first 1 million** commission if an app is uploaded to the app store, which is enough to encourage developers to upload apps to the app store.
If consumers use third-party app store** software, they will spend an extra $1, so it is natural for consumers to choose Apple's Appstore** software.
Regardless of how you look at it, there's no doubt that Apple has indeed slashed commissions for app developers and consumers, bringing tangible benefits to consumers. Apple relented under intense pressure from Europe.
Previously, Europe sued Apple several times and agreed to pay fines, and now, Europe has passed a bill to force Apple to make concessions to the demands made by Europe, and in 2022 adopted the Dutch model to impose huge fines on Apple.
In 2022, the Netherlands imposed a penalty of €500,000 per week on Apple for its unwillingness to accept side loads and third-party payments. This strategy of the Netherlands worked, because after a series of fines of more than 50 million euros was imposed on the Netherlands**, it finally agreed to the Dutch request to allow Dutch consumers to significantly reduce the cost of using software while using third-party software stores. Europe passed Apple's bill on USB ports, third-party software stores, and third-party payments.
There is another reason why Apple is now being forced to make such concessions, and that is its current disadvantage in the market. China, one of the world's largest markets, has also seen a decline in Apple's shipments, even on the back of domestically produced phones. China, Europe, and the United States are Apple's three largest markets, and after Apple's failure in China, it must maintain the stability of the European market and avoid a total defeat to meet the needs of the European market.
Under the requirements of European unification, Apple's performance will be greatly affected, because some time ago, Apple's main profit** was services, and the App Store contributed 20% of revenue, and the profit of this part is much higher than that of hardware like iPhone, so Apple's profit pressure will put pressure on Apple.
2023 is the year of Apple, at the end of the year, Apple's sales in the global market have declined, but in 2023, it will become China's annual mobile phone sales champion and annual mobile phone sales champion, this is the first time, but due to the huge pressure from Europe, Apple has intervened a lot in performance, which is also a lot of pressure for Cook.
In 2022, Apple's board of directors asked Cook** because of rumors that the iPhone 14 was not selling well, and at the end of 2023, the signs of poor iPhone 15 sales reappeared, and at the same time, Apple's board of directors also slashed Cook's share dividend. All of this suggests that the board's trust in Cook is waning after more than 10 years as Apple's CEO.