The UK’s Competition and Markets Authority (CMA) has raised significant concerns about how Apple and Google control mobile web browsers.
A press release from the CMA’s independent inquiry group suggests that this duopoly is stifling competition and innovation in the UK’s mobile ecosystems.
The inquiry, launched after a 2021 market study, found that the two tech giants effectively set the rules for mobile browsers on their operating systems, potentially limiting choices for consumers and developers.
With new digital market competition rules set to take effect next year, the CMA is considering tougher interventions to address the situation.
Apple’s restrictions stifle browser innovation, inquiry finds
The CMA’s investigation has provisionally concluded that Apple’s restrictive practices limit the ability of competing browser providers to innovate.
These restrictions, imposed through Apple’s iOS and App Store policies, prevent rival browsers from delivering a full range of features.
This has drawn criticism from browser developers, who claim that Apple’s rules hinder their ability to provide differentiated services to consumers.
The inquiry also highlighted how Apple and Google influence user behavior by making their browsers the default or most convenient options on their devices. This, the report notes, creates an uneven playing field that favors their services over competitors.
Recommendations for enhanced oversight
To address these concerns, the CMA has proposed prioritizing investigations into Apple and Google’s activities under the new digital markets competition framework, set to be implemented in 2024.
These rules grant the CMA the power to designate companies with “strategic market status,” enabling stronger oversight of firms dominating critical digital markets.
The CMA’s chair of the independent inquiry group, Margot Daly, emphasized the importance of competition to drive innovation.
She stated that the lack of effective rivalry in the mobile browser market is holding back progress and limiting consumer choice.
The CMA is now considering a range of interventions to address these issues, which could include changes to how browsers are offered to users and restrictions on Apple’s and Google’s ability to set certain rules.
Along with examining mobile browsers, the inquiry group reviewed the mobile cloud gaming market in the UK.
Unlike the browser market, the group found no pressing need for CMA intervention in this sector at present.
The report suggested that this market will remain under observation, given its potential for future competition concerns.
The findings from this investigation underscore the growing scrutiny of large technology firms globally.
Apple and Google, with their extensive influence across app stores, operating systems, and browsers, face increasing challenges from regulators aiming to foster a more competitive digital environment.
The CMA’s approach reflects a broader trend in regulatory circles to address potential anticompetitive behavior in digital markets.
As similar concerns emerge worldwide, the UK’s response could set a precedent for other jurisdictions grappling with the complexities of the tech giant’s market dominance.
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