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The
Competition and Markets Authority's announcement Wednesday
follows separate investigations it opened at the start of the
year into Google’s Android and Apple’s iOS, using newly acquired
digital market regulations designed to protect consumers and
businesses from unfair practices by Big Tech companies.
The watchdog said Apple and Google hold an “effective duopoly,"
with 90-100% of mobile devices in Britain running on either
mobile platform. Its investigation found a range of concerns
affecting businesses and consumers such as unpredictable app
reviews, inconsistent app store search rankings and commissions
on in-app purchases of as much as 30%.
The CMA also unveiled separate “roadmaps” for each company
outlining possible measures to improve competition, including
“fair and transparent” app reviews and app store rankings to
give British app developers “certainty."
The watchdog also recommends letting app developers "steer"
users to channels outside of app stores where users can make
purchases, mirroring similar efforts by the European Union.
Google called the watchdog's decision "disappointing and
unwarranted," and said Android has saved app developers money
because they didn't have to adapt to different operating models
for each smartphone.
It's “crucial that any new regulation is evidence-based,
proportionate and does not become a roadblock to growth in the
U.K.,” the company's senior director of competition, Oliver
Bethell, said.
Apple said it was worried the CMA's moves could pose increase
risks for users and jeopardize the U.K.'s "developer economy."
“We’re concerned the rules the U.K. is now considering would
undermine the privacy and security protections that our users
have come to expect, hamper our ability to innovate, and force
us to give away our technology for free to foreign competitors,"
Apple said in a statement. "We will continue to engage with the
regulator to make sure they fully understand these risks.”
The regulator is seeking feedback on its proposal and has until
Oct. 22 to make a final decision.
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