Apple In Trouble In Brazil For Demanding iTunes Payments In U.S. Dollars


Apple is all about the dollars; something that usually pleases its shareholders no end.

However that same behavior may be exactly what has wound up getting the company on the wrong side of Brazil’s Consumer Protection Secretariat department.

The ministry has officially given Apple ten days to respond to the question of why its iTunes service charges customers in US dollars — payable with an international credit card — as opposed to local Brazilian currency, the real.

Charging in a foreign currency is illegal in Brazil: a law that Apple has seemingly flouted since first launching its iTunes store in the country back in late 2011.

If Apple fails to respond to charges within the allotted period of time, the company may be liable to a fine of up to 6 million reals (about $2.6 million).

This isn’t the first time in 2013 Apple has run foul of the developing market that is Brazil. Earlier this year it was reported that Apple risked losing the “iPhone” trademark in the country.

About the author

Luke DormehlLuke Dormehl is a UK-based journalist and author, with a background working in documentary film for Channel 4 and the BBC. He is the author of The Formula: How Algorithms Solve All Our Problems, And Create More and The Apple Revolution, both published by Penguin/Random House. His tech writing has also appeared in Wired, Fast Company, Techmeme, and other publications. He'd like you a lot if you followed him on Twitter.

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