Tim Cook, chief executive officer of Apple Inc., during the Apple Worldwide Developers Conference at Apple Park campus in Cupertino, California, US, on Monday, June 10, 2024.
David Paul Morris | Bloomberg | Getty Images
Apple said Friday it won’t release several upcoming features unveiled this month, including its flagship “Apple Intelligence” AI product, in the European Union this year due to “regulatory uncertainties” stemming from the bloc’s Digital Markets Act anti-trust regulation.
Apple said in a statement that three features — Apple Intelligence, iPhone Mirroring and enhancements to its SharePlay screen-sharing product — won’t be available to EU customers due to Apple’s belief that “that the interoperability requirements of the DMA could force us to compromise the integrity of our products in ways that risk user privacy and data security.”
The EU passed the DMA in 2023, spurred by concerns that a handful of major technology companies such as Amazon, Apple, Alphabet, Meta, Microsoft andTikTok parent Bytedance were acting as “gatekeepers” in preventing smaller firms from competing. Among other things, DMA requires that basic functionalities work across competing devices and ecosystems.
The interoperability requirements apply to iPhones and iPads products. But Macs are impacted by the DMA because iPhone Mirroring allows users to replicate their iPhone onto the screen of their Mac.
The loss of the company’s AI product could be a disappointment to consumers. Apple Intelligence can proofread your writing or even rewrite it in a friendly or professional tone. It can create custom emoji called “Genmoji,” search through your iPhone for specific messages from someone, summarize and transcribe phone calls or show you priority notifications. The company also announced a partnership with OpenAI and a roadmap to other models being added to the platform.
Apple shares were largely flat on the news. Apple saw 2023 net sales of $94.3 billion in Europe, just under a quarter of its worldwide net sales. Apple Intelligence also won’t be available in Greater China, which accounted for $72.6 billion of its 2023 sales.
The company says it will work with the European Union “in an attempt to find a solution that would enable us to deliver these features to our EU customers without compromising their safety.”
