UK investigating if Apple amassed too much power in mobile app stores
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The United Kingdom government is investigating Apple’s and Google’s respective mobile businesses and app stores for iPhone and Android.
The country’s Competition and Markets Authority (CMA) has launched an investigation into both companies, examining the terms for developers who want to distribute their apps on Apple’s App Store and Google’s Play Store.
Should the joint investigation, which can last up to nine months, determine that these mobile ecosystems should have “strategic market status” (SMS), both companies could be fined and subjected to greater regulation and corrective actions.
UK investigating if Apple amassed too much power in mobile app stores
Reuters reports that the competition watchdog is also analyzing how apps are distributed to iPhone and Android owners, preinstalled apps, alternative browsers choices and barriers to entry of rival services, like leveraging search on the App Store to minimize competition.
The CMA, which named a former Amazon executive as its interim chair a day ago, shared a statement from its chief executive Sarah Cardell, who said the investigation could help boost competition for mobile ecosystems in the country. “Better competition could also boost growth here in the UK,” she said.
Apple responded by underscoring that its App Store business model has helped create hundreds of thousands of jobs in the country. “We face competition in every segment and jurisdiction where we operate, and our focus is always the trust of our users,” Apple said in a statement.
Apple has already implemented several changes in response to the EU’s Digital Markets Act, such as allowing third-party browser engines, setting default apps, adding a browser choice screen, and more. However, they are restricted to the 27 EU members and don’t apply in the UK, which exited the EU in 2020.
Apple is facing similar investigations in the European Union, the United States and elsewhere. In 2024, for example, the United States government sued Apple over the lock-in strategy and other illegal practices, with the Cupertino company planning to “vigorously defend” against those accusations.
Source link: https://www.idownloadblog.com/2025/01/23/apple-google-app-store-investigation-uk-competition-and-markets-authority/
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