Apple E.U. changes ‘can open Pandora’s box,’ says JPMorgan

JPMorgan analyst Samik Chatterjee keeps an Overweight rating on Apple after the company announced broad-based changes to its Services monetization model in European Union to comply with the requirements of the Digital Markets Act. Apple will enable alternative app stores for consumers to download apps, and the ability to use alternative payment systems starting March of this year, and it charging a lower commission rate in the range of 10% to 17%, the analyst tells investors in a research note. The firm says that while the changes impact the Services group in Europe only, they will increase the focus on the anticipated Department of Justice antitrust lawsuit and the likelihood of Apple making similar changes outside of Europe to appease regulators. The changes “can open Pandora’s box with other regulators,” JPMorgan contends.