EU Pressures Apple on App Store Interoperability: Faces Potential 10% Revenue Fines
September 20, 2024An Apple spokesperson highlighted the company's ongoing development of APIs that enable third-party developers to create compatible apps while prioritizing user privacy and security.
The European Commission has launched new proceedings under the Digital Markets Act (DMA) to ensure Apple meets interoperability obligations for its iOS and iPadOS platforms.
Apple has six months to resolve these interoperability issues, or it could face fines of up to 10% of its annual global revenue.
A key provision of the DMA prohibits large platforms from favoring their own offerings over those of competing apps, further complicating Apple's app distribution strategy.
However, the installation process for third-party app stores remains complex, potentially deterring users compared to the streamlined experience of Apple's App Store.
In response to these challenges, Apple is implementing new security features, such as app notarization and transparent payment disclosures, to mitigate risks associated with third-party app stores.
Earlier this year, the Commission found that Apple had violated DMA rules by preventing developers from informing users about alternative payment options.
Despite Apple's efforts to comply with the DMA, competitors like Spotify and Epic Games argue that the changes made so far are insufficient.
The DMA aims to enhance competition in the app market, addressing long-standing disputes between Apple and companies like Epic Games and Spotify over app store policies and fees.
This regulatory shift represents a move towards a more open app market, balancing consumer freedom with security, and requiring enterprises to take greater responsibility for app safety.
These new proceedings do not signify the end of the broader non-compliance investigation currently ongoing against Apple.
As the DMA continues to reshape the app ecosystem, the stakes for app security are rising, necessitating stronger application security strategies from developers.
Summary based on 54 sources
Get a daily email with more World News stories
Sources
TechCrunch • Sep 17, 2024
MacPaw launches its alternative iOS app store for EU in open beta | TechCrunchTechCrunch • Sep 19, 2024
EU to tell Apple how to do interoperability, DMA style | TechCrunchTechCrunch • Sep 17, 2024
Epic Games Store -- and Fortnite -- now available on iPad in the EU | TechCrunchThe Verge • Sep 20, 2024
Apple put on notice over support for third-party watches and headphones