The CMA has requested an investigation into the mobile market dominance of Apple and Google
The Competition and Markets Authority (CMA) of the UK has proposed a detailed examination of Apple's and Google's substantial influence in the mobile industry.
On Friday, the CMA's independent panel disclosed initial observations concerning the mobile ecosystems of these companies, asserting they control a "near duopoly" in operating systems, app marketplaces, and web browsers.
Evidence highlighted includes a profit-sharing arrangement between Apple and Google that purportedly lessens their financial drive to innovate with mobile browsers on iOS. Both companies are also accused of structuring options to favor their browsers.
Discussions with minor UK developers revealed a desire to utilize alternative app stores, yet they are restricted by technology not being fully operational on iOS devices.
The initial exploration also assessed cloud gaming but ceased this inquiry in August 2024 after Apple permitted cloud gaming on its app store.
The findings have led the group to advocate for a comprehensive investigation into these tech giants under the upcoming Digital Markets Act, anticipated to be enacted next year.
Margot Daly, chair of the CMA's inquiry, remarked, "Effective markets enable businesses to offer innovative choices to consumers."
Daly added that the initial assessment shows limited competition among mobile browsers, impeding UK's innovation.
In reaction, Apple indicated to CNBC that such regulatory actions might compromise user privacy and affect its ability to create distinctive technology.
Apple maintained, "We support dynamic markets where innovation thrives. We experience competition across all areas we operate, and user trust remains our priority."
The CMA announced its intent to scrutinize Apple’s and Google’s impact on the mobile market in June 2022.
The preliminary review commenced in November 2022, also covering a Phase 2 review of Apple’s limitations on cloud gaming.
In May, the investigation paused as both tech companies disputed the CMA's actions in the Competition Appeal Tribunal, resuming in December 2023.
