United Kingdom’s CMA investigating Apple for anti-competitive behavior

The United Kingdom’s Competition and Market Authority (CMA) launched an investigation into Apple’s alleged anti-competitive behavior.

The problem, per the CMA: “In addition to designing, manufacturing and marketing electronic devices such as smartphones and tablets, Apple also operates the App Store. This is the only way for developers to distribute third-party apps on Apple’s iPhones and iPads, and the only way for Apple customers to access them.

CMA Andrea Coscelli says the probe has been prompted by the organization’s own work in the digital sector, “as well as several developers reporting that Apple’s terms and conditions are unfair and could break competition law.:

All apps available through the App Store have to be approved by Apple, with this approval hinging on developers agreeing to certain terms. The CMA says  complaints from developers focus on the terms that mean they can only distribute their apps to iPhones and iPads via the App Store. 

These complaints also highlight that certain developers who offer ‘in-app’ features, add-ons or upgrades are required to use Apple’s payment system, rather than an alternative system. The CMA’s investigation “will consider whether Apple has a dominant 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, ultimately resulting in users having less choice or paying higher prices for apps and add-ons.”