Thierry Breton, the current EU Internal Market Commissioner, said Apple would face tough action if changes to the App Store did not comply with upcoming EU rules.
The iPhone maker will soon allow software developers to distribute apps through alternative stores on its devices, a move aimed at complying with the European Union's upcoming Digital Markets Act.
Starting March 1, developers will be able to offer alternative app stores on iPhones and opt out of Apple's in-app payment system, which charges commissions of up to 30 percent.
Critics say the changes are not enough, arguing that Apple's pricing structure remains unfair and that the changes could violate the Digital Markets Act.
"The Digital Markets Act opens the door to competition on the Internet and makes digital markets fair and open," Britton told Reuters in response to a question about Apple's plans. “We are reviewing the company’s proposal and are also taking into account third-party comments.”
He added: "If the proposed solutions are not good enough, the European Union will not hesitate to take strong measures."
Under Apple's new European regime, developers submit apps to Apple to be reviewed for cybersecurity risks and obvious fraud.
Apple users in the EU can choose their default web browser and app for contactless payments, meaning they can make contactless payments without using Apple Pay.
Developers must continue to pay a basic technology fee of half a euro per user account annually, even if they do not use the App Store or Apple's payment system.
According to Apple, a basic technology fee applies to developers who choose to register their new systems in the EU.
The company estimates that 99% of developers are likely to reduce or maintain fees owed to the company under the new European regime.
Companies like Meta and Spotify may face issues from small developers with millions of free users.
Apple's critics warn that the new European system will offer few advantages.
“Approval for alternative payments and marketplaces appears positive, although restrictions related to the company’s new policies make it practically impossible for developers to take advantage of them,” said Andy Yin, founder and CEO of privacy-focused software company Proton.
“These changes are a good step, although the fees are still very high and we are preparing to send formal comments to the European Commission,” said Paolo Tricentos, CEO of alternative app store Aptoide.
A European Commission spokesperson said: “We have noted Apple's announcements before the compliance deadline. We do not comment on these announcements and strongly encourage affected companies to test these proposals with third parties.