Last year, new laws went into effect aimed at forcing big tech companies to open up their platforms to competitors. Compliance deadline is , all eyes were on how Apple, which is notorious for not getting along well with others, would react. The company is now determining how it will comply with the law, and the result is the bad compliance everyone expected. Similarly, the reaction from a coalition of wealthy critics who wanted a free piece of Apple’s pie was equally predictable.
digital market law
In 2023, the EU put in place a new regime to prevent big tech companies from going all out in the region. The Digital Markets Act and Digital Services Act govern so-called “gatekeepers,” large platforms that act as intermediaries between users and businesses. These include Meta, Alphabet, Apple, Amazon, and (TikTok owner) ByteDance, all of which have large user bases, deep pockets, and tremendous power. One of the key provisions of this law was to open up the system to platform holders such as Apple and Google, allowing competing services such as alternative app stores.
On January 25th, Apple I will explain. The document is littered with mentions of how the law makes iOS less secure and that Apple needs to take steps to mitigate those risks. Apple doesn’t reveal exactly how much profit each of its business units makes, but the App Store is an important part of the company’s services division. . As a result, Apple is willing to let you launch a competing iOS app store, but to do so you would have to climb Mount Everest, dig a tunnel to the center of the earth, and come up with $1 million in cash. not.
Okay, not yet. that.
you can Compete but you don’t compete want to
Rival app store creators can’t just show up and sell their products without any oversight. It was clear from the beginning that even if Apple opened up its platform, third-party app stores would not be allowed to circumvent the company’s ground rules. If you were hoping to run Honest Doug’s App Store (not a scam) and travel the world, you’ve failed.
Rivals will still have to meet Apple’s notary requirements and have strict rules and coordination tools governing quality, copyright infringement, fraud and payment disputes. (Notarization means that these apps are checked by Apple andIt should provide users with key rules regarding data collection and the same level of control they enjoy on the App Store itself. Not to mention compliance with the Digital Services Act, GDPR, and other acronym-heavy EU regulations regarding digital services and online privacy. Basically, if you want to run your own App Store, you need to operate at the same level as Apple.
Apple also said app stores must ensure they can meet their payment obligations to app developers. In this case, that means sharing letters from top financial institutions along with any evidence they have. (approximately $1.1 million) in credits. And developers must pay a fee to prevent third-party app stores from leveraging Apple’s platform without benefiting Apple. If your app has been downloaded more than 1 million times. This costs him 0.50 euros (about 54 cents) per installation and is updated every 12 months the app is installed. You can decide for yourself whether this reminds you of a payment scheme.
At this time, Apple is offering developers . Apple then receives a flat fee on every transaction, whether you buy the app itself or through in-app purchases. If you are a small developer whose annual revenue is less than $1 million, the big developer will pay you 30% of his annual revenue. There are exceptions, such as the “Reader” app, which is downloaded for free and tied to a subscription elsewhere. So far, it’s not clear under what circumstances (if any) side-loading fees might be preferable to the vanilla “Apple tax” through its own storefront.
Expected response
Unsurprisingly, Apple’s statement and the detailed explanations in its developer notes were all controversial. Many critics were furious, feeling that Apple had too much power over the platform.
Epic Games CEO Tim Sweeney was quick to condemn the change before.he It was “another egregious example of malicious compliance.” Additionally, app developers are being forced to choose between App Store exclusivity and “an anti-competitive scheme rife with new junk fees for downloads and new Apple taxes on unprocessed payments.” added.
The Coalition for App Fairness, a lobbying group backed by Epic, Spotify, and Match Group, It belongs to my biggest supporter. Rick VanMeter, executive director and former Republican Party spokesman, said Apple has “no intention” of following the DMA. It added that the move was “a shameless insult to the European Commission and the millions of European consumers it represents” and urged officials to reject the move.
Despite Mr. Sweeney’s personal opposition and the opposition of lobbyists, Epic Games has already said: fortnite – Was – back to iOS. The company said it would distribute its titles through it. The company added in an announcement tweet that it “continues to argue with courts and regulators that Apple violates the law.”
But Apple’s wealthy rivals aren’t the only ones who feel the company is thumbing its nose at the EU with these changes. Andy Yen, founder of privacy service Proton, told Engadget that Apple’s DMA compliance was “done in bad faith” and that the iPhone maker is “fighting tooth and nail to maintain profits and monopoly.” ” he said. The conditions attached to Apple’s new policy actually mean that it will be impossible for developers to benefit from it. The company said the move would erode “users’ fundamental rights by giving Apple the power to review apps downloaded outside the App Store.” He added: “The European Commission cannot allow this blatant rule-bending to continue.”
However, despite the chorus calling on the European Commission to: do something, my body hasn’t moved yet. “We are mindful of Apple’s announcements ahead of compliance deadlines,” a spokesperson for the commission told Engadget. “We do not comment on these announcements.” The spokesperson added: “We strongly encourage designated gatekeepers to test their proposals with third parties.” He added that these comments “do not detract from the commission’s own assessment of these proposals.”
At the time of writing, no prominent EU figures have yet commented on the matter. European Commission President Ursula von der Leyen and her head of technology and competition, Margrethe Vestager, are active on social media, but she has not mentioned this topic. Similarly, we are awaiting responses from both Spotify and Deezer.Needless to say, before Apple’s announcement, Spotify The company has announced that it will be possible to download the app directly from its website.
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