Apple and Google under investigation by British regulator over mobile platforms


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Britain’s competition watchdog has launched an investigation into Apple and Google’s mobile platforms, just days after the government forced its presidency to step down as part of a campaign to cut the regulatory burden on businesses.

THE Competition and Markets Authority said On Thursday she will examine whether the creators of the iPhone and Android smartphone operating systems should be subject to greater scrutiny over how they run their mobile platforms, as part of her second investigation under the new regime digital markets.

The announcement comes just two days after the government Marcus Bokkerink ousted As chairman of the CMA, the regulator was concerned that it was not focusing enough on growth.

The surprise move led many to speculate that big tech might be treated more leniently by the antitrust regulator. The government has appointed Doug Gurr, who previously led Amazon’s UK business, as interim chair of the CMA.

On Thursday, the CMA said it would examine how the creators of the iPhone and Android smartphone operating systems competed with each other, whether they favored their own apps and services and whether developers were treated fairly.

“More competitive mobile ecosystems could enable new innovations and opportunities across a range of services that millions of people use, whether app stores, browsers or operating systems,” he said. said Sarah Cardell, chief executive of the CMA.

“Better competition could also drive growth here in the UK, with companies able to offer new and innovative types of products and services on Apple and Google platforms,” she added.

Under the UK’s Digital Markets, Competition and Consumer Act, which came into force this month, the CMA can designate a small group of companies as having “strategic market status”, imposing requirements for conduct similar to the EU Digital Markets Act.

Last week, the CMA opened its first such case, rExamining Google’s dominance in search and advertising.

The CMA is already questioning Google and Apple in a separate investigation into mobile web browsers and cloud gaming, which has provisionally found that the two companies are “stifling competition” in the browser space.

“The openness of Android has helped to expand choice, reduce prices and democratize access to smartphones and applications. It is the only example of a successful and viable open source mobile operating system,” said Olivier Bethell, Googlesenior competition director.

“We support a path forward that avoids restricting choices and opportunities for UK consumers and businesses, and without risk to the UK’s growth prospects,” he added.

Applewhich says its apps platform supports hundreds of thousands of jobs in the UK, said it would “continue to engage constructively” with the CMA.

“Apple believes in thriving, vibrant markets where innovation can thrive,” the company said. “We face competition in every segment and jurisdiction where we operate, and our goal is always the trust of our users. »

The CMA investigation will add to the global scrutiny the two companies already face over their dominance of the smartphone market.

Apple clashed repeatedly with Brussels last year over the implementation of the Digital Markets Act, making changes to its platform after the European Commission accused the iPhone maker of failing to comply with its “online guardian” rules.

If designated, the UK’s SMS status lasts for five years and businesses can be fined up to 10 per cent of global turnover for breaching the conduct rules.

The CMA said it would accept comments by February 12 and complete its investigation by October 22.