The tech giant could be compelled to permit rival app stores in UK.

Placeholder image Illustration of app stores

Apple could be required to permit rivals to run their own application platforms on iPhones in the UK, following a ruling from the market watchdog.

This represents a significant change to Apple's well-known "walled garden" where apps can only be installed from its own App Store.

But the UK competition watchdog has designated both Apple and Google as having "dominant market position" - effectively saying they have a lot of power over mobile platforms.

Watchdog Findings

The regulator said the tech firms "could be restricting innovation and competition".

But the regulator clarified it did not "find or assume wrongdoing" from the firms.

"Mobile applications generates 1.5% of the British economy and sustains around 400,000 jobs, which is why it's essential these sectors function properly for enterprises," stated a top executive from the CMA.

Approximately ninety to one hundred percent of UK mobile devices operate using Apple or Google's mobile platforms, creating what the authority calls an "effective duopoly".

According to recent analysis, nearly half of UK mobile owners own an iPhone - which runs the iOS operating system - with the overwhelming bulk of the rest using the Android OS.

Apple's Reaction

The regulatory probe examined how dominant the companies' own applications are compared with competitors - as well as their web applications and platform software.

It is unknown what modifications the regulator will look to request, but earlier it published roadmaps outlining possible actions it could take.

These include mandating it to be more straightforward for people to transition between Apple and Android devices, and for both companies to rank apps "in a fair, objective and transparent manner" in their app stores.

Apple specifically may be compelled to permit alternative app stores on its devices, and let people to download programs directly from developer sites.

This would follow a similar ruling in the European Union, which previously imposed measures against Apple for restrictive practices.

The technology firm cautioned the United Kingdom could face delays to receiving updates - as has happened in the European Union - which the organization attributes to heavy regulation.

For example, some AI capabilities which have been rolled out in other regions are not accessible in the EU.

"We encounters intense rivalry in every market where we do business, and we strive continuously to create the best products, services and user experience," the organization said in a release.

"Britain's implementation of EU-style rules would weaken that, resulting in consumers with weaker privacy and security, slower availability to new features, and a divided, more complicated user journey."

Google's Standpoint

Google device owners can presently use third-party app stores - though commentators say they are not as smooth as Google's own Play Store.

The CMA's roadmap said the search company may have to "modify the interface" of installing applications straight from websites, as well as "remove user frictions" when using third-party platforms.

"There appears to be no the rationale for the current classification," a Google policy executive remarked.

The representative said "the majority" of Google device owners use alternative app stores or download apps directly from a creator's site, and asserted there is a far greater range of apps available for Android users versus those on Apple devices.

"There are now twenty-four thousand Android phone models from 1,300 device makers worldwide, facing strong rivalry from Apple's platform in the UK," the representative added.

Android is an freely available software, which means creators can use and build on top of it for free.

The company argues this means it opens up market competition.

But consumer groups said restrictions on these companies' power in other countries "currently assist enterprises to develop and giving customers more options".

"Their dominance is now creating genuine problems by limiting options for users and competition for companies," commented a consumer advocate.

Ana Gilbert
Ana Gilbert

A tech enthusiast and writer passionate about innovation and storytelling, sharing experiences from the digital world.