Apple faces antitrust investigation in the UK for App store rules

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The UK’s competition regulator hurled an antitrust investigation into Apple to probe whether it is abusing its market power to restrict competition. According to the competition and the various market authorities. They will investigate Apple for the complaints filed by software developers relating to the tech giant’s App store.

Highlights

  • The UK’s competition and various market authorities are inspecting Apple for its App store rules. These complaints are done by software developers.
  • There is a hard approval process for iOS apps and has undergone harsh criticism relating to the 30% fee it charges for in-app transactions.
  • Highly popular US tech companies are experiencing mounting antitrust inquiries from all around the globe regulators.

The iPhone and iPad apps are only released by developers via Apple’s iOS smartphone platform. It has a hard approval process for every iOS app. Apple has undergone harsh criticism relating to the 30% fee charges for in-app transactions.

The chief executive of CMA, Andrea Coscelli

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says, ‘Every day more than millions of people use apps to check the weather report, play a game, or order their food’. There are complaints that Apple is taking advantage of its global market position. To set some unfair terms. Such terms might limit the competition or choice causing the customers to lose out while buying or using apps – the warrant careful inquiry.

Due to this, the shares of Apple went down by 0.5% . Britain’s competition investigates into Apple by following European Union’s same moves. The previous year, the EU commission hurled antitrust investigations into Apple’s app store rules as well as Apple Pay mobile wallet. As per CMA, they would continue to match up with the EU and various other regulators.

A spokesperson for Apple said that the company will work with the CMA to report the concerns. He said, ‘we believe in flourishing and competitive markets where our ideas can boom’.

Big tech shutdown

Various US tech companies like Facebook ,amazon, Google Updates  are experiencing mounting antitrust inspection from all around the globe regulators. The EU is looking to shut down the Big Tech with widespread digital markets as well as services reforms. Whereas, the UK has its agendas to announce new digital rules.Big Tech Shutdown

Epic Game vs Apple

Epic Games, the creator of the famous game Fortnite are vocal about the criticism of Apple. They says that iPhone maker’s App store rules are anti-competitive. Also, the issue of a 30% cut that the company takes from various developers for in-app purchases is unfair.

Last month, they filed an antitrust complaint against Apple. The entire fight between Epic and Apple took a serious turn when Apple released an updated version of their famous game Fortnite. This allowed the players to go around Apple’s payment method to buy various digital goods. However, the game was delisted after it met with legal action from Epic. Similarly, Google has been a victim of Epic after it removed Fortnite’s Android version.

Spotify and MatchGroup also complained against Apple’s policies. A spokesperson of Spotify said, ‘the UK completion and various market authorities joins a huge list of regulators so that an investigation takes place against Apple’s App Store practices’.

 

 



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