An antitrust investigation has been opened by Italy into Apple’s iCloud services, focusing on potential preferential treatment under new EU digital regulations. (Illustrative AI-generated image).
At a Glance
Italy’s antitrust regulator has opened an investigation into Apple under the EU’s Digital Markets Act (DMA), suspecting the tech giant unfairly favors its iCloud service over competitors. This probe, the first of its kind in Italy for cloud services, examines whether Apple’s control over iOS and the App Store grants iCloud an undue advantage, potentially limiting consumer choice and competition in the multi-billion euro cloud storage market.
- Italy has launched an antitrust probe into Apple’s iCloud service under the EU’s Digital Markets Act (DMA).
- The investigation focuses on whether Apple unfairly favors its own iCloud service over rival cloud storage providers like Google Drive and Dropbox.
- Regulators suspect Apple may be leveraging its control over iOS and the App Store to give iCloud preferential treatment.
- This probe is significant as it extends DMA enforcement into the cloud storage market, a key area for Apple’s services revenue.
- If violations are found, Apple could face substantial fines and be required to make significant changes to how iCloud is integrated and promoted.
- The outcome could set precedents for how gatekeepers manage integrated services under the DMA and impact competition in the cloud storage sector.
Italy’s antitrust regulator has opened a new probe into Apple under the European Union’s Digital Markets Act (DMA). The regulator suspects Apple may be giving its iCloud service an unfair advantage over rival cloud storage providers, initiating an Apple iCloud antitrust probe Italy is watching closely.
Italy Launches Antitrust Probe into Apple’s iCloud Preferencing
The Italian Competition Authority (AGCM) announced the investigation on June 16, 2026. This marks the first time Italy has used the DMA to target cloud services. The AGCM will send a report to the European Commission, which could then open its own formal case. This referral process allows national regulators to flag potential violations to the central EU authority.
Examining Potential Self-Preferencing by Apple
The probe specifically examines whether Apple, as a designated gatekeeper under the DMA, is breaking the rules by preferencing iCloud over third-party cloud services like Google Drive, Dropbox, and Microsoft OneDrive. Italian competition watchdogs believe Apple’s control over iOS and the App Store may give iCloud an unfair edge, potentially limiting consumer choice and competition in the cloud storage market.
How Apple Might Be Favoring iCloud
Authorities suspect Apple may be using its control over iPhones and iPads to make iCloud the default or easier to use, potentially harming competitors. The investigation is rooted in the DMA’s prohibition of self-preferencing, which applies to gatekeepers controlling core platform services like iOS, the App Store, Safari, and iCloud.
While specific practices are not public, concerns often include pre-installing iCloud, making it harder to switch to other services, or bundling iCloud with other Apple features. The AGCM wants to check if this violates the DMA ban on “self-preferencing.” This could involve examining how iCloud is promoted in system settings, whether third-party cloud apps have full access to system-level features like automatic photo backups, and if Apple imposes technical restrictions that make rival services less seamless.
Self-preferencing means a company favors its own products over rivals. Under the DMA, designated gatekeepers cannot do this. Gatekeepers are large platforms with significant market impact, like Apple’s App Store and iOS. The DMA defines self-preferencing broadly, covering not only ranking and default settings but any technical or commercial advantage a gatekeeper gives its own services. For cloud storage, this could include exclusive integration with iCloud Keychain or iCloud Drive in Finder.
Significance of the Cloud Storage Probe Under DMA
This probe is significant because it extends DMA enforcement beyond app stores and browsers into the cloud storage market. While the European Commission has investigated self-preferencing in search and social networks, this is one of the first cases to examine cloud storage. The outcome could clarify how the DMA’s rules apply to services bundled with gatekeeper operating systems.
Apple’s Broader Antitrust Landscape in Europe
Apple faces multiple antitrust investigations in Europe. The European Commission has previously examined App Store rules for music streaming, Apple Pay, and Apple’s overall control of iOS. Apple is also under investigation for its practices related to e-books, audiobooks, and third-party mobile wallets.
DMA Enforcement and Potential Penalties for Apple
This new probe adds to the pressure on Apple. The DMA gives regulators powerful tools, including the ability to fine companies up to 10% of their global revenue. The DMA came into full effect in March 2024, and the European Commission has opened several investigations into Apple, Google, and Meta under these new rules. Apple was the first company formally investigated under the DMA in March 2024 for its App Store rules.
Italy’s Role in Digital Enforcement
Italy’s AGCM has been active in digital enforcement. While it has its own powers under Italian law, the DMA provides a stronger tool. The AGCM can share findings with the EU Commission, which can then take action across the entire EU. This cloud storage probe is the first time Italy has used the DMA to investigate self-preferencing in cloud services.
What the DMA Mandates on Self-Preferencing
The DMA defines self-preferencing as treating a gatekeeper’s own products or services more favorably than third-party ones. This includes ranking them higher, making them easier to install, or limiting how rival services function on the platform. The regulation aims to ensure that digital markets remain contestable, allowing new entrants and smaller competitors to compete effectively.
For cloud services, self-preferencing could mean iCloud being the only option that integrates seamlessly with iPhones or being promoted in system settings. Users might find it harder to discover or set up rival services. For example, iCloud is automatically enabled during iPhone setup, while third-party apps require separate downloads and manual configuration for features like automatic photo backups.
Potential Remedies Under the DMA
If Apple is found to be preferencing iCloud, it could be forced to make changes. Remedies might include offering a choice screen for default cloud storage during initial setup or giving third-party cloud apps access to system-level APIs currently restricted to iCloud. The DMA aims to make digital markets fair and requires gatekeepers to allow third-party services to compete on equal terms.
Precedents for Self-Preferencing Cases
This probe is not the first DMA case concerning self-preferencing. The European Commission has investigated Google for preferencing its shopping service and Meta for preferencing Facebook Marketplace. These cases led to significant fines and orders to change behavior, demonstrating the Commission’s willingness to impose penalties for proven self-preferencing.
Challenges in Enforcing DMA for Cloud Services
Cloud services present unique challenges for DMA enforcement due to their deep technical integration with operating systems. Regulators must determine the level of integration that constitutes a fair playing field. The AGCM’s investigation will likely examine technical evidence to assess whether iCloud receives preferential treatment that rivals cannot replicate.
Next Steps: From Italian Probe to EU Commission
The AGCM will gather evidence and send a report to the European Commission. The Commission can then open its own formal investigation under the DMA, with broader powers to demand changes and impose fines. This referral mechanism allows national authorities to flag issues, but the Commission retains ultimate DMA enforcement authority.
Timeline and Apple’s Response
No timeline has been announced for the investigation. DMA procedures can take months or years. Apple typically declines to comment on ongoing investigations but has previously argued that its integrated ecosystem offers security and convenience benefits.
Potential Fines and Remedies
If the European Commission opens a case and finds Apple in violation, it can order the company to stop illegal practices and impose fines of up to 10% of its global annual revenue. Repeat violations could lead to higher fines. The Commission can also mandate behavioral remedies, such as requiring Apple to allow users to choose their default cloud storage provider during setup.
Settlement Possibilities and Previous Changes
The DMA allows gatekeepers to propose commitments to address competition concerns, potentially leading to a settlement. Apple has already made some changes in response to DMA pressure, such as allowing third-party app stores and alternative payment systems in the EU, though critics argue these changes are insufficient.
Global Impact and Future Precedents
This investigation is likely to be closely watched globally. If the Commission finds Apple in violation, it could set a precedent for how other gatekeepers like Google and Microsoft manage their cloud services in the EU. The probe may also influence similar regulatory approaches in other regions.
Impact on Apple’s Services Revenue
iCloud is a key part of Apple’s growing services business. If Apple is forced to stop preferencing iCloud, some users might switch to alternatives, potentially impacting Apple’s services revenue growth. However, Apple’s strong ecosystem lock-in effect may limit the immediate impact, as many users are reluctant to switch cloud providers.
Potential Benefits for Users and Developers
For users, any remedy could mean more choice and easier switching between cloud services, potentially leading to lower prices or better features due to increased competition. Developers of rival cloud services could benefit from a more level playing field, potentially gaining access to system features currently restricted to iCloud.
Frequently Asked Questions
What is the main reason for Italy's antitrust probe into Apple's iCloud?
Italy's antitrust regulator is investigating Apple because it suspects the company may be unfairly favoring its own iCloud service over competing cloud storage providers. This is being examined under the European Union's Digital Markets Act (DMA).
How might Apple be giving iCloud an unfair advantage?
Authorities suspect Apple might be using its control over iOS and the App Store to make iCloud the default or easier to use. This could involve pre-installing iCloud, making it harder to switch to other services, or bundling it with other Apple features.
What is the Digital Markets Act (DMA) and how does it apply here?
The DMA is an EU regulation designed to make digital markets fairer and more contestable. It prohibits designated 'gatekeepers,' like Apple, from self-preferencing their own services over those of rivals. This probe is checking if Apple's practices violate these DMA rules.
What are the potential consequences for Apple if found in violation?
If Apple is found to be in violation of the DMA, the European Commission could impose significant fines, potentially up to 10% of Apple's global annual revenue. Apple could also be ordered to make changes to its business practices, such as offering users a choice of default cloud storage providers.
Why is this investigation particularly important for cloud services?
This probe is notable because it extends the focus of DMA enforcement beyond app stores and browsers into the cloud storage market. Cloud services are deeply integrated into operating systems, presenting unique challenges for regulators to ensure a level playing field.
What is the role of the Italian Competition Authority (AGCM) versus the European Commission?
The AGCM is initiating the investigation and will send its findings to the European Commission. The Commission then decides whether to open its own formal investigation, which carries broader powers for enforcement and penalties across the entire EU.
