Categories: Technology

The UK begins investigation into the App Store policies of Apple

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Apple will go through an investigation by UK’s regulator following allegations of using anti-competitive policies on the App Store.

On Thursday, United Kingdom’s Competition and Market Authority (CMA) launched a probe against Apple. It will investigate the accusations of anti-competitive activities on the App Store by the iPhone maker.

The authority will try to find evidence regarding the allegations against the tech firm.

What to expect from the probe against Apple?

It will deal with finding how the company operates when distributing its apps on iOS and iPad devices.

Last year, UK launched an early inquiry after several developers complained. They regarded the alleged anti-competitive practices of Apple.

CMA will now initiate a probe under Chapter II of the 1998 Competition Act.

The Act covers cases of a company or an organization using its domain position within a specific market or industry to restrict competition.

Speaking about CMA, then it said that there are already enough “reasonable grounds” to believe that Apple broke the competition law.

It will try to find whether or not the company has a position in “connection with the distribution of apps on Apple devices in the UK – and, if so, whether Apple imposes unfair or anti-competitive terms on developers using the ‌App Store‌.”

Under the investigation, CMA will probe into the iPhone maker’s 30 percent commission for in-app purchases. It requires developers only to use App Store’s in-app payment system built within the apps.

As per this system, the company gets a 30 percent commission for every purchase made. Developers didn’t entirely like these criteria, however. They said the commission fee is too high.

Apple then reduced the commission rate, to 15 percent, for qualifying small indie developers.

Meanwhile, in its statement over the ongoing issue, the company said:

“We look forward to working with the UK Competition and Markets Authority to explain how our guidelines for privacy, security, and content have made the ‌App Store‌ a trusted marketplace for both consumers and developers.”

Series of troubles for California tech giant

In the last few months, there have been several instances of legal situations for Apple.

It all happened after the rift with Epic Games initially due to the same issue of the in-app payment system. After the Fortnite developer launched a legal battle against the company, other developers also came forward.

Before this, Tim Cook’s firm also went through a war of accusations against Facebook last year. It was after the company introduced a feature into its iOS 14 operating system. It gives the user option to stop ad-tracking by any third-party app permanently.

Image courtesy of UnlockBoot/YouTube

MK Tomar

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MK Tomar

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