Apple Faces Renewed Legal Pressure in Brazil Over App Store Rules

In yet another international setback for Apple, a Brazilian court has reinstated a major antitrust ruling against the tech giant—once again forcing the company to allow sideloading and alternate app distribution mechanisms within 90 days. The legal rollercoaster, driven by Brazil’s antitrust authority CADE and powered by complaints from e-commerce titan MercadoLibre, highlights escalating global scrutiny over Apple’s tight grip on its App Store ecosystem.

Apple had initially dodged enforcement of these changes in March 2024 by securing a reversal from a Federal Civil Court. But in a dramatic twist, that decision has been overturned again, signaling renewed regulatory pressure and casting doubt on Apple’s ability to maintain its current app distribution model in Brazil.

Apple vs Brazil: The App Store Antitrust Battle

Apple is facing mounting legal challenges worldwide, and Brazil has become the latest hot zone in this conflict. Here’s a rundown of what’s happening:

In 2023, MercadoLibre filed a complaint with

CADE ruled that Apple’s “anti-steering” rules—which prevent developers from informing users about alternative payment options or linking to external sites—were illegal.
As part of the ruling, Apple was ordered to:

Stop prohibiting developers from linking to external payment options.
Allow other tools and mechanisms for app distribution (essentially, sideloading).
Apple was given a 90-day window to implement these changes.
However, Apple appealed the decision in March 2024 and temporarily succeeded. A Federal Civil Court suspended the enforcement of CADE’s ruling.
Fast forward to May 2025: that suspension has now been lifted. The original 90-day deadline is back in effect, and Apple is once again required to comply.
This reversal reopens the regulatory fight. Apple may seek additional legal action, but the trend in Brazil now mirrors a global push against App Store restrictions.

At stake here is not just Brazil’s app ecosystem but Apple’s control over its tightly managed platform. The country joins a growing list—including the European Union and the U.S.—where Apple’s App Store model is being challenged in court.

What Undercode Say:

Apple is now navigating increasingly hostile regulatory waters, and this case in Brazil is particularly telling. Several key analytical points emerge from this development:

Global Antitrust Trend: Apple is no longer fighting isolated battles. The reversal in Brazil parallels recent regulatory moves in the U.S. (Epic Games lawsuit) and the European Union (Digital Markets Act). The pattern is unmistakable: global governments are scrutinizing and pushing back on Apple’s closed ecosystem.
Brazil’s Strategic Importance: Brazil is Latin America’s largest economy and one of Apple’s fastest-growing markets in the region. Losing control here could open the floodgates for similar demands across Latin America and beyond.
Sideloading Threatens Profitability: Apple’s 30% commission on in-app purchases is a major revenue stream. Allowing sideloading or external payment links threatens that margin. If forced to adopt these changes in Brazil, the economic implications could be significant—not just locally but globally if the precedent spreads.
Timing Is Critical: The reinstated 90-day countdown puts Apple on a short leash. By mid-August 2025, it must comply or risk penalties. Developers and competitors are watching closely, and the clock is ticking.
Appeal Options Are Narrowing: While Apple may file another appeal, the legal system’s flip-flop pattern hints at weakening judicial support. The company is running out of both time and goodwill in Brazilian courts.
Developers Gain Leverage: This ruling empowers app developers by giving them a legal basis to demand more freedom. It also energizes advocacy groups who have long criticized Apple’s “walled garden.”
Competitive Boost for Android: If Apple is compelled to open its ecosystem, Android—already more flexible—may gain ground in markets like Brazil where consumers often prioritize affordability and app accessibility.
Public Sentiment and Media Pressure: Local media, including Valor Econômico and MacMagazine, are actively reporting the case. Public scrutiny may further pressure Apple to comply swiftly, rather than engage in protracted legal sparring.

9.

A Slippery Slope: Legal defeats like this, if compounded, could pave the way for systemic reforms to Apple’s global app distribution policies.

In summary, Apple’s case in Brazil is a microcosm of a larger regulatory reckoning. The winds are shifting—and Apple, long used to dictating the terms, may have to start negotiating.

Fact Checker Results:

✅ The Brazilian Federal Court has indeed reinstated the previous CADE ruling requiring Apple to comply within 90 days.
✅ CADE’s original ruling came after a complaint from MercadoLibre, one of Latin America’s largest e-commerce companies.
✅ The decision marks a significant reversal after Apple temporarily blocked enforcement in March 2024.

Prediction

If Apple fails to implement sideloading and alternate payment mechanisms by the revised August 2025 deadline, it could face hefty fines or operational restrictions in Brazil. More critically, this ruling may ignite similar antitrust investigations across Latin America. Apple may attempt a compromise by offering limited sideloading—just enough to satisfy regulators without fully relinquishing control. However, global regulators are emboldened, and a domino effect could ensue, pressuring Apple to rethink its entire App Store business model before year-end.

References:

Reported By: 9to5mac.com
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