Apple is at risk of facing new antitrust charges from the European Union if it fails to resolve alleged violations of the bloc’s digital rules, which previously resulted in a €500 million (S$741.2 million) fine earlier this year.

With a June 26 deadline looming, EU regulators are preparing to issue an ultimatum requiring Apple to let developers inform users about lower-cost offers available outside its App Store, according to sources who requested anonymity.

If Apple doesn’t act, it could face additional fines under the EU’s Digital Markets Act — potentially up to 5% of its average daily global revenue for each day it remains non-compliant, according to Bloomberg.

However, sources say the company could still avoid further penalties if it submits a timely proposal that satisfies regulators and resolves the alleged breaches.

Apple was fined on April 23, the same day Meta Platforms received a €200 million penalty for its “pay or consent” ad-free option on Facebook and Instagram.

EU regulators ruled that both tech giants had breached the Digital Markets Act, which sets out specific requirements for the world’s largest digital firms.

An Apple spokesperson said EU regulators continue to shift the goalposts on what constitutes compliance with the Digital Markets Act, making it difficult to meet their requirements.

The company added that it has invested hundreds of thousands of hours in efforts to comply with the bloc’s evolving rules.

A European Commission spokesperson said it would not speculate on potential next steps while Apple still has time to submit a proposal.

However, the spokesperson added that regulators have extensive enforcement powers if Apple remains in violation of its obligations under the Digital Markets Act.

In recent years, the EU has imposed hefty penalties on major tech firms, including over US$8 billion in fines against Google’s parent company, Alphabet, and a separate order requiring Apple to repay €13 billion in back taxes to Ireland.