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UK Competition Watchdog Targets Apple, Google Over App Store Monopolies

UK Competition Watchdog Targets Apple, Google Over App Store Monopolies
Credit: [email protected] (Luke Hughes), TechRadar

UK Competition Watchdog Takes Aim at Apple and Google Over App Store Practices

The UK's competition watchdog, the Competition and Markets Authority (CMA), has launched two antitrust investigations into the mobile ecosystems of both Apple and Google. The CMA's announcement comes as part of a broader effort to promote more competitive markets in the country.

CMA Defines Mobile Ecosystems

In its press release, the CMA defined a mobile ecosystem as including "the operating systems, app stores, and browsers that operate on mobile devices." This definition encompasses not only Apple's iOS and Google's Android but also other elements of their respective ecosystems.

Investigations to Focus on Competition and Market Power

The core elements of the investigation will include the extent of competition between Apple and Google's ecosystems, as well as how each company may be leveraging its power to maintain footholds into other activities and favor their own platforms. The CMA is also concerned about whether either company is exploiting app developers by strong-arming them into unfair terms and conditions in order to have their products accepted onto their respective app stores.

Potential Conduct Requirements

The CMA cites such "potential conduct requirements" as allowing users to download apps or in-app content from other sources more easily beyond its own app stores. Currently, while Google's Android is a more open operating system that does permit this, Apple's iOS is much more of a 'walled garden'.

Competition Watchdog Seeks More Competitive Markets

The CMA's chief executive, Sarah Cardell, said that "more competitive mobile ecosystems could foster new innovations and new opportunities across a range of services that millions of people use." She also stated that better competition could boost growth in the UK by allowing businesses to offer new and innovative types of products and services on Apple's and Google's platforms.

Investigations Have Strict Deadline

Both investigations have a statutory deadline of October 22, 2025. This timeline underscores the CMA's commitment to addressing potential monopolistic practices in the tech industry.

CMA's Investigation Timeline and Leadership

The announcement by the CMA of its investigation into mobile app store monopolies follows the naming of Doug Gurr as interim chair, former Country Manager for Amazon UK and President of Amazon China. The UK Government stated that Gurr will lead the CMA in supporting growth for the country.

Impact on Tech Industry

The investigations into Apple's and Google's app store monopolies have significant implications for the tech industry as a whole. As major players, both companies have been criticized for their restrictive policies and practices. The CMA's investigation aims to promote more competitive markets and ensure fair treatment of app developers.

Business Impact

The impact on businesses using Apple's and Google's platforms could be substantial if the investigations lead to significant changes in their operating systems and app stores. This could create new opportunities for companies to innovate and offer unique products and services on these platforms.

Conclusion

The UK government's decision to launch antitrust investigations into Apple's and Google's mobile ecosystems reflects its commitment to promoting more competitive markets in the country. The CMA's investigation has significant implications for the tech industry, potentially leading to changes in how these companies operate their app stores and handle competition.

Key Points

  • The UK government has launched two antitrust investigations into Apple and Google's mobile ecosystems.
  • The CMA defines a mobile ecosystem as including operating systems, app stores, and browsers on mobile devices.
  • The investigations will focus on competition between Apple and Google's ecosystems and their potential leveraging of market power.
  • Both investigations have a statutory deadline of October 22, 2025.


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About the Author

The author is an expert writer with a focus on technology and business. They have extensive experience writing about various topics related to tech, innovation, and entrepreneurship.


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