UK takes ‘light touch’ approach to regulating Apple and Google’s app stores

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Last year the UK declared that Apple and Google were a duopoly with “strategic market status” in the mobile platforms market, making them subject to special regulations. However, the UK’s Competition and Markets Authority (CMA) will not regulate Google and Apple’s app stores like the EU has done. Rather, government plans to enforce its own digital markets rules in a “pragmatic” way by accepting “commitments” from Apple and Google in areas like app rankings, the CMA announced.

Google and Apple agreed to work with the CMA to address concerns on the following matters: app review, app ranking, use of data and interoperability process. Effectively, regulators require the tech giants to treat developers fairly, particularly when they compete against Google and Apple’s own apps. However, the UK’s rules are more like suggestions and “not legally binding in any case,” former CMA director Tom Smith told the Financial Times.

This is in stark contrast to Europe’s Digital Markets Act, which forced Apple to make changes to open up iOS features and data to rivals, allow app installations from outside its Store and reduce fees collected on purchases.

That could change if the companies fail to comply with its measures, though. The CMA plans to check metrics like the number of apps approved or rejected, app review times and developer complaints received. New requirements could then be brought forward if deemed necessary. “For example, if we find Apple is routinely declining interoperability requests without good reason… we could bring forward specific interoperability requirements. Non-compliance would also mean we would be unlikely to consider commitments as a similar approach in [the] future.”

Google said in a blog today that it “welcomed the opportunity to resolve the CMA’s concerns collaboratively.” Apple, meanwhile, seemed similarly pleased with the deal. “The commitments announced today allow Apple to continue advancing important privacy and security innovations for users and great opportunities for developers,” an Apple spokesperson told Bloomberg.

The UK is possibly taking a light touch on app store rules to avoid antagonizing the Trump administration. Earlier today, French President Emmanuel Macron predicted that the US could go after the EU on areas like data privacy, digital taxation and the plan of multiple EU countries to ban children from social media. “The US will, in the coming months — that’s certain — attack us over digital regulation,” Macron said at a special summit yesterday.



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