of Britain antitrust the regulator proposed to oblige apple Allowing developers to connect to third-party payment options to purchase apps and subscriptions App Store.
The proposal would specifically prohibit Apple from using the same forms of “harmful compliance” that it has tested in both the US and EU…
The story so far in the EU and the US
The EU has demanded that Apple allow third-party app stores US court ruled that developers have the right to direct iPhone users to third-party payment platforms for app purchases and subscriptions. The UK’s Competition and Markets Authority (CMA) is now proposing to apply this latter rule in the UK.
However, Apple has so far tried to circumvent these requirements with tactics described as “malicious compatibility”. In the EU, Apple used “irritating and scary” screens are intended to discourage iPhone owners from using competing app stores. in the United Statesthe company even insisted it was entitled to a commission on purchases made outside the App Store. These commissions will have a net effect to deny any benefit for developers.
UK application payment offers
Now the UK’s CMA offers allowing developers to direct users to alternative payment options outside of both the Apple and Google app stores. Google has already said it is taking steps to comply.
To prevent Apple from using the same tactics it attempted in its ongoing court battle with Epic Games in the US, Reuters reports that the CMA specifically prohibits the iPhone maker from charging developers unreasonable fees for the privilege.
The watchdog said any fees the world’s two biggest tech companies charge to allow such “handover” must be fair and reasonable, with savings passed on to consumers or reinvested in innovation below existing app store commissions.
“While it’s fair for Apple and Google to be compensated for the services they provide, any fees they charge must be justified through a robust, evidence-based framework that includes proper reference to both value and worth,” according to an excerpt from a speech by Will Hayter, executive director of digital markets.
The proposal is now open for comments.
Apple Wallet Competitors
The CMA also proposes to force Apple to allow third-party competitors Apple Wallet application for contactless payments. This will allow competitors Apple Pay.
These payments require access to the NFC chip built into modern iPhones, but Apple doesn’t allow banks or other financial institutions to use it. The CMA proposes to change that.
The CMA said it is also considering requiring Apple to open up access to near-field communications technology used for contactless payments, potentially allowing developers to offer payment services within their iOS apps. This could allow UK fintech companies to create alternatives to Apple’s wallet, including emerging technologies such as account-to-account payments and digital currencies, the CMA said.
Apple opposes both proposals
Apple, of course, opposes both proposals.
“When consumers are removed from Apple’s secure payment infrastructure, they lose the protection they have come to trust with Apple,” a spokesperson said, adding that the US tech giant would continue to “clarify our concerns” to the CMA.
Adoption of 9to5Mac
There is now significant momentum behind Apple pushing to allow developers to choose third-party payment platforms for app and subscription sales in many countries around the world. The UK has clearly learned from Apple’s response in other countries and is specifically trying to prevent the iPhone maker from technically complying, while denying any benefits to developers.
The opening of the NFC chip to banks and financial companies is significantly weaker. Apple’s payments are too small, and it seems unlikely that iPhone users will give up the convenience of all contactless payment options within one app in favor of competing apps with more limited coverage.
The author of the photo Vagaro about Open it
FTC: We use automatic affiliate links that generate income. More.
