Apple and Google to Revise App Stores Following UK Regulator Agreement

• The companies committed to reviewing apps in a fair, objective and transparent way under the new agreement
• Developers will gain access to more Apple iOS features to create competing products, including for digital wallets and live translation
• Both companies defended their practices, with Apple citing 'fierce competition' and Google stating its existing developer practices were already fair

Summary: Apple and Google to Revise App Stores Following UK Regulator Agreement

Key Development:

Apple and Google have agreed to implement significant changes to their mobile app stores following demands from the UK's Competition and Markets Authority (CMA), marking an important development in the regulator's tougher enforcement regime.

Regulatory Action:

The CMA designated both tech giants as having "strategic market status" in smartphones, granting the regulator power to mandate specific changes to boost competition. This designation reflects the companies' dominant positions—nearly all UK smartphones operate on either Apple iOS or Google Android systems, with their respective app stores holding exclusive or dominant market positions.

Key Commitments:

Under the new agreements, both companies will:

• Review apps in a fair, objective, and transparent manner
• Provide developers greater access to Apple's iOS features to enable competing products, including digital wallets and live translation services
• Implement more transparent developer practices across their platforms

Company Responses:

Apple emphasized it faces "fierce competition" and stated the commitments allow continued innovation in privacy, security, and developer opportunities. Google, while maintaining its existing practices were already fair, welcomed the chance to resolve the CMA's concerns collaboratively.

Market Implications:

The agreement represents a significant regulatory win that could reshape the mobile app ecosystem, potentially opening new opportunities for third-party developers and increasing competition in digital services. The CMA previously noted that Apple and Google's dominance enables them to exert considerable influence over content, services, and technological developments, making these commitments particularly consequential for the broader mobile marketplace.