A person holds a smartphone in front of the words ‘Available on the App Store’ and the Apple logo.
Gonchar Pavlo | SOPA images | LightRocket via Getty Images
LONDON – UK competition regulator on Thursday launched an antitrust investigation into Apple.
The Competition and Markets Authority said it would investigate Apple about complaints from software developers about the tech giant’s App Store.
Apple only allows developers to launch applications for iPhone and iPad through its iOS smartphone platform. The company has a strict approval process for iOS apps and has faced criticism over a 30% fee it charges for in-app transactions.
“Millions of people use apps every day to check the weather, play a game or order take-out food,” said Andrea Coscelli, CMA’s chief executive.
“Complaints that Apple is using its market position to define terms that are unfair or may restrict competition and choice – potentially causing losses to customers when purchasing and using applications – warrant careful examination.”
The British investigation into Apple’s competition follows similar moves by the European Union. Last year, the European Commission launched antitrust investigations into the rules of Apple’s App Store and its Apple Pay mobile wallet. The CMA said it will continue to coordinate closely with the EU and other regulators, although Britain formally left the bloc last year.
An Apple spokesman said the company would work with the CMA to address its concerns.
“We believe in prosperous and competitive markets where any big idea can flourish,” said the spokesman.
“The App Store has been a successful engine for app developers, in part because of the rigorous standards we have in place – applied fairly and equally to all developers – to protect customers from malware and to prevent the collection of data rampant without your consent. “
Big Tech crackdown
Major US technology companies are facing increasing antitrust scrutiny from regulators around the world. The EU is trying to crack down on big technologies with extensive reforms in services and digital markets. The United Kingdom, for its part, has its own plans to introduce new digital rules.
Epic Games, creator of the popular video game Fortnite, has been particularly critical of Apple. Epic says the iPhone maker’s App Store rules are anti-competitive and has especially questioned the 30% cut that Apple receives from developers for in-app purchases.