In a surprising turn of events, Apple's decision to withhold its Apple Intelligence AI features from the European Union (EU) has drawn criticism from the EU's competition chief and European Commission Vice-President Margrethe Vestager. Vestager has labeled Apple's move as a "stunning declaration" of anticompetitive behavior, adding yet another twist to the ongoing saga.

Apple recently announced that it would not be rolling out Apple Intelligence, including features like iPhone Mirroring, SharePlay Screen Sharing enhancements, and integrated ChatGPT, to its EU users due to regulatory uncertainties brought about by the Digital Markets Act (DMA). This decision has raised concerns about competition between AI platforms and potential limitations on other devices such as Android or Windows.

Antitrust and litigation expert Florian Mueller believes that Apple's concern stems from uncertainties surrounding DMA compliance in the AI context. However, the EU sees Apple's decision as a deliberate attempt to disable competition where the company already holds a strong position.

Vestager stated during the Foruma Europa Event that the EU requires companies to be open to competition in order to operate in Europe. Apple's reluctance to introduce Apple Intelligence in the EU goes against this vision and further intensifies the scrutiny faced by the tech giant.

The EU's recent crackdown on Apple's core business practices, particularly relating to the integration of hardware, software, and services, has seemingly made the company apprehensive about making any missteps. Yet, the decision to delay or withhold Apple Intelligence has been regarded as anticompetitive, as it could hinder the competitive process.

While some changes made by the EU, such as allowing alternative app marketplaces and sideloading, may have potential benefits, Apple appears cautious about moving forward without legal certainty. Mueller argues that Apple is not preventing others from offering AI-powered services and that obtaining clarity through legal processes is a responsible approach.

This news follows the European Commission's announcement that Apple's App Store rules breach the DMA by restricting app developers from directing consumers to alternative channels. If Apple fails to address these concerns, fines of up to 10% of its worldwide turnover loom, potentially prompting the company to reconsider its operations in the EU.

The withholding of Apple Intelligence in the EU has put the spotlight on the tech giant's relationship with regulators, highlighting the challenges and tensions surrounding competition and regulatory compliance. As the situation unfolds, it remains to be seen how Apple will navigate these hurdles and whether a resolution can be reached that satisfies both the company and EU regulators.

In the meantime, Apple users in the EU eagerly await further updates on the availability of Apple Intelligence features and the potential impact on their digital experiences.

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