June 30 (UPI) — Britain is challenging Apple and Google for not allowing developers to pull users away from their app stores.
The Competition and Markets Authority said Tuesday that Google and Apple have an “effective duopoly” on mobile phones by not allowing developers to engage with users or make purchases outside of the app stores.
The CMA said at least 90% of mobile devices in the United Kingdom are running on Apple or Google platforms. It said allowing “steering” away from the platforms by developers would increase market competition.
Both companies now charge a commission of up to 30% on in-app purchases. Google said it has already made the changes.
CMA Executive Director Will Hayter said choice is important for competition and consumers.
“We think it is important to give both app developers and users more choice about how they communicate and how they transact,” Hayter said in a statement. “This is not only because choice is inherently valuable but also because we see this as the best way to introduce some competitive pressure in a vital part of the mobile ecosystem that is otherwise sorely lacking such pressure.”
Hayter said the CMA isn’t trying to take away fees altogether.
“While it is only fair for Apple and Google to be compensated for the services they provide, any fees they charge must be justified through a robust, evidence-led framework involving due reference to both cost and value,” he said.
Apple responded that steering will make users less protected from scams.
“When users are directed away from Apple’s trusted payment infrastructure, they lose the protections they rely on Apple to provide. We will continue to make our concerns clear in our ongoing dialogue with the CMA,” an Apple spokesperson told The Guardian.
