CADE signs a Cease and Desist Agreement with Apple

On 23 December, the Administrative Council for Economic Defense (CADE) signed a Cease and Desist Agreement with Apple, investigated in Brazil for alleged anticompetitive practices regarding the iOS digital ecosystem.

The investigation concerns the prohibition of distribution of digital goods and services from third parties in the Apple Store, as well as the imposition of Apple’s in-app purchase payment processing system for transactions. A practice reinforced by mandatory anti-steering clauses, which prevented developers from informing users of iOS applications about alternative payment methods.

The commitments established in the Cease and Desist Agreement aim to eliminate such competition concerns. 

Further Information

Under the agreement, Apple must allow app developers to provide third-party offers and direct users to process transactions outside the application.

In addition, the Cease and Desist Agreement separates Apple’s payment processing services from in-app transactions, allowing developers to offer other in-app payment methods. The developers must provide and display alternative payment methods and third-party offers side-by-side Apple’s payment solution, providing users with more choices. Apple must also allow the opening of alternative app distribution channels (app stores).

In any scenario, any notice to users issued by Apple will have a limited scope, must adopt a neutral and objective language, and should not create control measures that hinder the user experience. 

The agreement also establishes the fee structure to be charged by Apple, in alignment with other commitments made, to ensure that the pro-competitive effects of the new agreement terms are noticed by developers and users.

According to Commissioner Victor Fernandes, the Brazilian proposal fits within a broader context of international initiatives aimed at opening Apple’s mobile ecosystem and seeks to generate concrete and positive competitive effects in the markets involved.

Duration

The agreement will remain in effect for three years from the moment the new terms are mandatory for developers. Before that, Apple has 105 days to implement the changes. The terms of the agreement may be reviewed in the circumstances provided therein, including if it is found that the measures adopted are not adequately achieving their objectives and scope.

Under the Cease and Desist Agreement, Apple also agreed to end the litigation in which the company aimed to nullify the interim measure imposed by CADE within the investigation.

After the signature, the proceeding is stayed until the obligations under the agreement are fulfilled. However, a new investigation on subsequent practices may still be launched. The full text of the agreement will be made available soon.

Case History

The investigation began in December 2022, from a complaint made by the group Mercado Livre, who pointed out a possible abuse of dominant position in the market of app distribution for iOS devices.

In November 2024, after a long investigation, the Office of the Superintendent General at CADE (SG) determined the launch of the administrative proceeding, imposing measures to increase the freedom of choice for iOS developers and users regarding app distribution channels and in-app payment processing systems for digital goods and services. The Tribunal of CADE upheld the interim measure, after Apple’s appeal in May 2025, as stated in the vote of the rapporteur of the case, Commissioner Victor Oliveira Fernandes.

In June 2025, the SG finalised the investigation phase and recommended Apple’s conviction, forwarding the case for analysis by the Tribunal of CADE.

Later, in July 2025, Apple requested negotiations for an agreement with CADE. Then, CADE determined the suspension of the deadline for the compliance with the interim measure for the duration of the negotiations.

With the signature of the Cease and Desist Agreement in December 2025, Apple must comply with the agreed-upon obligations, under penalty of, in the event of total noncompliance, paying a fine of up to BRL 150 million and the reopening of the investigation against the company and the interim measure. 

Check the votes of Commissioner Rapporteur Victor Fernandes and Commissioner Camila Alves