Apple is once again under the radar of regulators, this time from Britain. Specifically, the UK Competition Authority (CMA) launched a formal investigation into Apple’s App Store on March 4, regarding alleged “anti-competitive behavior.” The antitrust investigation aims to investigate the tech giant for complaints that softwareabout its App Store. According to Reuters and CNBC, Apple allows developers to release iPhone and iPad through its platform.
Apple’s App Store purchase policy has long been criticized by software companies for prohibiting them from accepting direct payments for apps and forcing them to use its own system that charges a 15 to 30 percent commission.
CMA director Andrea Coscelli said of the investigation: “Millions of us use every day to check the weather, play a game or order something. Complaints that Apple is using its dominant market position to impose terms that are unfair or may limit competition and choice require careful scrutiny.”
On the other hand, a spokesperson for the iPhone maker stressed that the company will cooperate with the CMA, noting the following: "We believe in competitive markets where every great idea can flourish. The App Store has been a success engine for app developers, in part because of the strict standards we have implemented – fairly and equally to all developers – to protect customers from malware and to prevent uncontrolled data without their consent."
Apple recently clashed with Epic Games, the creator of the popular video game “Fortnite,” after the company tried to avoid the 30% commission by launching its own in- game purchase system last year. Apple responded by removing Fortnite from its App Store.
The App Store operating model is also the subject of an antitrust investigation in the Netherlands. Finally, the European Commission launched an investigation into the commission Apple charges last year.
