Britain’s competition watchdog is taking on Apple and Google, telling the tech giants to be fairer in how they run their powerful app stores. The country’s regulator plans to label the two companies with a special “strategic market status,” which would give it the power to force major changes on their mobile platforms.
The Competition and Markets Authority (CMA) says Apple and Google have an “effective duopoly,” controlling nearly all mobile devices in the UK. The regulator is concerned about their unpredictable app review process, unfair search rankings, and the high commissions of up to 30% they charge developers for some in-app purchases. The CMA believes these practices stifle innovation and choice.
The proposed changes would force Apple and Google to make their app store rules more transparent and consistent. This includes providing developers with fair warning before changing guidelines and establishing proper channels for them to raise concerns and file complaints.
Naturally, Apple and Google are pushing back. Google called the move “disappointing and unwarranted,” while Apple expressed concern that the new rules could compromise user privacy and security.
However, some critics think the regulator isn’t going far enough. “Fortnite” maker Epic Games, a long-time foe of the tech giants, said the CMA missed a major opportunity by not forcing Apple to allow competing app stores right away. The regulator is also under pressure from the UK government to do more to boost the economy.
The CMA will make its final decision on whether to grant the “strategic market status” by October 22. This move is a clear indication that regulators are taking a serious step to rein in the power of Big Tech.
