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Apple and Google Declared Mobile Duopoly by UK Regulator
PYMNTS.comยท2025-07-23 20:19

Core Viewpoint - The UK's Competition and Markets Authority (CMA) has identified Apple and Google's mobile platforms as holding an effective duopoly, prompting the proposal of new guidelines to enhance competition and innovation in the U.K. market [1][2]. Group 1: CMA Findings - The CMA's investigation revealed concerns from businesses and consumers regarding "inconsistent and unpredictable" app review processes, which can lead to uncertainty for developers and delayed or failed app launches [2]. - The regulator also noted "inconsistent app store search rankings," which may favor apps owned by Apple and Google, alongside commissions of up to 30% on certain in-app purchases and restrictions on developers directing customers outside the app stores [3]. Group 2: Proposed Conduct Requirements - The CMA's proposed requirements may allow app developers to guide users to better offers outside the two app stores, providing consumers with "a genuine choice over the services they use on their devices" [4]. - The CMA's new digital markets competition regime, effective from January 1, enables the designation of companies with "strategic market status" and the imposition of conduct requirements to promote competition [5]. Group 3: Industry Reactions - Google expressed disappointment over the CMA's announcement, arguing that Android has saved developers significant time and costs, and emphasized the need for evidence-based regulation that does not hinder growth in the U.K. [4]. - An Apple spokesperson raised concerns that the proposed rules could undermine user privacy and security, hinder innovation, and compel the company to share its technology with foreign competitors [4].