Germany’s competition authority, the Bundeskartellamt, has secured a significant legal victory in its efforts to regulate the dominance of large digital companies.
On Tuesday, the Federal Court of Justice upheld the Bundeskartellamt’s 2023 designation of Apple as a “company of paramount cross-market significance for competition.” This ruling subjects Apple to stricter oversight under Germany’s expanded abuse control framework, aligning it with other tech giants such as Alphabet/Google and Meta.
Strengthened Regulatory Oversight Under Section 19a GWB
With the enactment of the 10th amendment to the German Competition Act (GWB) in 2021, the Bundeskartellamt gained a powerful tool—Section 19a GWB—to prevent and mitigate anti-competitive practices by dominant digital firms. This provision enables the authority to take proactive measures against companies that hold significant market power across multiple sectors.
Two-Stage Examination Process
- Assessment of Market Significance: The Bundeskartellamt first determines whether a company holds a position of paramount significance for competition across markets. This designation has been confirmed for Meta, Alphabet, Amazon, and Apple, with the Federal Court of Justice upholding the decisions against Amazon and Apple in March 2025.
- Prohibition of Anti-Competitive Practices: Once designated under Section 19a GWB, the authority can prohibit practices such as self-preferencing and market penetration through unfair competitive means.
Apple’s Regulatory Challenges
Apple’s ecosystem, built around its iOS operating system and App Store, grants the company substantial control over digital markets. The Bundeskartellamt’s 2023 assessment confirmed that Apple’s dominance extends beyond individual product categories, influencing competition on a broader scale. Apple challenged this ruling in court, but the Federal Court of Justice’s March 2025 decision upheld the regulator’s findings, cementing Apple’s status under Section 19a GWB.
One of the key investigations against Apple focuses on its App Tracking Transparency Framework (ATTF). Since April 2021, Apple has required third-party app developers to obtain additional user consent before accessing certain data for advertising purposes. However, Apple’s own services are not subject to the same strict rules, raising concerns about potential self-preferencing.
In June 2022, the Bundeskartellamt launched an investigation into whether Apple’s tracking regulations unfairly disadvantage third-party developers. In February 2025, the authority issued its preliminary legal assessment, suggesting that ATTF may violate both Section 19a(2) GWB and Article 102 TFEU, which prohibits abuse of market dominance in the EU.
Implications and Ongoing Proceedings
The Federal Court of Justice’s ruling strengthens the Bundeskartellamt’s authority to impose stricter measures against Apple and other major tech firms. The regulator’s president, Andreas Mundt, welcomed the decision, stating:
“This means that the highest court has confirmed that Apple is subject to stricter abuse control. Our ongoing review of Apple’s tracking regulation for third-party apps is therefore on a solid footing, and we are working flat out on this case and other cases against the major internet companies.”
In addition to Apple, the Bundeskartellamt continues its proceedings against Alphabet/Google, Meta, and Amazon, addressing concerns over data processing, self-preferencing, and other competition-restricting behaviors. Significant improvements have already been achieved in areas such as Google News Showcase and Meta’s VR headset practices.
