Worried about EU regulation, Apple delays the launch of three major AI features in Europe

Author: Fang Jiayao

Source: Hard AI

When Apple iOS 18 and macOS Sequoia are released at the end of this autumn, EU users will not be able to enjoy Apple's three major AI features.

On Friday, June 21, Apple announced that due to the EU's Digital Markets Act (DMA) which would force Apple to lower the security level of its products and services, the company has decided not to introduce new AI technologies including Apple Intelligence, iPhone Mirroring, and SharePlay Screen Sharing to the hundreds of millions of users in the EU market.

In a statement, Apple said, "We are concerned that the interoperability requirements of the Digital Markets Act may compromise the integrity of our products and jeopardize user privacy and data security."

After the news was announced, Apple's stock price fell in the short term, with the overall intraday gain narrowing from less than 0.8% to less than 0.2%.

The European Commission responded, stating that as long as they comply with our provisions aimed at ensuring fair competition, major "gatekeepers" are welcome to provide services in Europe.

"Gatekeepers" refer to large online platforms that provide core platform services such as social networks, search engines, etc., such as Apple, Google, Meta, and Amazon. The criteria for gatekeepers recognized by the DMA include: (1) an annual turnover of at least 7.5 billion euros in the European Economic Area, or a market value of at least 75 billion euros, and providing one or more core platform services in at least 3 EU member states; (2) having more than 45 million monthly active end users established or located in the EU, as well as more than 10,000 annual active business users established in the EU; (3) having met the criteria of item (2) in the past three years.

It is understood that the EU's Digital Markets Act (DMA) imposes a series of detailed behavioral norms on large tech platforms, aiming to promote fair competition in the market and protect consumer interests. For example, large tech companies cannot unfairly exclude other competitors by using their market position or platform, prohibit cross-service mergers of personal data, prohibit the use of third-party data for competition, and must allow users to download applications from competitors. Many large tech companies have expressed concerns about the EU's Digital Markets Act.

EU's 27 Member States Unable to Experience Apple's Latest AI Technology

The media pointed out that for EU Apple customers, this is a significant blow because these features are among the most important enhancements Apple announced at the Worldwide Developers Conference (WWDC) globally.

For example, Apple Intelligence was a major highlight at WWDC, which is an AI technology that helps users summarize text, create original images, and retrieve the most relevant data when needed. This feature aims to enhance the intelligent processing capabilities of devices using advanced AI technology, enabling devices to better understand and respond to user needs iPhone Screen Mirroring allows users to display their iPhone screen in real-time on a Mac computer and operate the iPhone on the Mac. This feature is suitable for scenarios where users need to operate their phones on a larger screen, such as presentations, teaching, or managing applications and files more conveniently.

SharePlay Screen Sharing is a feature among Apple devices that allows users to share their screen from an iPad or iPhone to another device and remotely control the other device. This is mainly used for remote collaboration, family entertainment, or providing technical support, such as sharing screens during video calls, watching videos together, listening to music, or assisting in solving technical issues. In addition, Apple has updated its operating system and released an improved version of the Siri digital assistant.

However, Apple has decided to delay the launch of these new features within the 27 member states of the European Union, where consumers in these countries will temporarily be unable to experience Apple's latest advancements in AI technology. These new software updates are planned to be launched in other regions this autumn, but will only be available for certain Apple devices and will only support American English.

Furthermore, Apple is under investigation for allegedly violating another key provision of the Digital Markets Act and is expected to receive a formal warning from EU regulators on Monday. According to the Digital Markets Act, Apple is expected to receive a formal warning from EU regulators next Monday as the company is suspected of preventing some applications from directing users to cheaper network subscription services. Earlier this year, Apple was fined 18 billion euros (approximately 19 billion US dollars) by EU regulators for this matter.

How Do Netizens View This?

Some netizens posted on social media platform X:

"If a company avoids markets with protective and regulatory legal frameworks, they may be hoping to never have to comply with these regulations by building social and economic pressure. I bet Apple won't give up launching AI products in the EU market. They are doing this after careful calculation and consideration."

"Apple's decision not to launch the latest AI features is clearly a punishment to the EU. This seems to be a new form of lobbying."