LONDON (AP) — The Competition and Markets Authority in Britain has initiated investigations into Google's Android and Apple's iOS mobile phone ecosystems. These investigations aim to determine whether the two tech giants should be granted 'strategic market status,' which could lead to mandated changes in their practices.
Under new regulatory powers to address digital market abuses, the watchdog is scrutinizing the mobile ecosystems controlled by Apple and Google. This move follows the implementation of new digital market rules at the beginning of the year, with the CMA already investigating Google's search ads business.
The investigations will focus on assessing whether Apple and Google's mobile operating systems, app stores, and browsers provide them with a strategic advantage in the market. The CMA is particularly interested in evaluating the level of competition and identifying any barriers that may hinder rivals from offering competing products and services.
Furthermore, the regulator will examine whether Apple and Google are favoring their own apps and services, which are often pre-installed and prominently placed on iOS and Android devices. Notable examples include Google's YouTube and Apple's Safari browser.
The investigations will also look into potential exploitative conduct, such as whether Apple and Google impose unfair terms and conditions on app makers as a requirement for distributing apps on their app stores.
The CMA has until October to conclude its investigations and could potentially compel either company to open up access to essential functions that other apps require to operate on mobile devices. Additionally, they may mandate allowing users to download apps from sources outside of the official app stores.
Both Google and Apple have expressed willingness to collaborate with the U.K. regulator during the investigation. Google emphasized that Android's openness has facilitated increased choice, reduced prices, and democratized access to smartphones and apps. The company advocates for a solution that preserves consumer and business choice without impeding growth prospects in the U.K.
Apple stated its belief in fostering thriving and dynamic markets that encourage innovation. The company highlighted its competition in various segments and jurisdictions, with a primary focus on earning the trust of its users.
