Apple and Google’s control over mobile browsers has been a major concern for the UK Competition and Markets Authority.
According to a press release by the CMA’s independent inquiry team, this duopoly is inhibiting competition and innovation within the UK’s mobile ecosystems.
After a market analysis in 2021, the inquiry found that two of the biggest tech companies effectively controlled the mobile browsers for their respective operating systems. This could limit choices for both consumers and developers.
The CMA will be taking tougher measures to combat the problem as new rules governing digital markets are set to come into effect in the coming year.
Apple’s browser restrictions are stifling innovation according to an investigation
According to the preliminary findings of CMA’s investigation, Apple’s restrictive policies limit competitors’ ability to innovate.
Apple’s iOS policies and App Store restrictions prevent rival web browsers from offering a complete range of features.
Browser developers have criticized Apple for its rules, claiming that they hinder them from providing differentiated services.
This inquiry revealed how Apple and Google can influence the behavior of users by ensuring that their preferred browsers are defaulted or convenient on devices. The report states that this creates an unfair playing field which favors Apple and Google’s services.
Recommendations to enhance oversight
The CMA proposes that investigations of Apple’s and Google’s activities be prioritized under the new framework for digital market competition, which is set to come into effect in 2024.
The CMA can now designate firms with a “strategic status” to enable a stronger level of oversight over companies dominating key digital markets.
Margot Daly of CMA, the chairperson of the CMA’s independent inquiry group, stressed the importance of innovation being driven by competition.
She said that the absence of competition in the market for mobile browsers is a major obstacle to progress, and limits consumer choices.
CMA has now considered a number of interventions that could address these concerns, including changes in how users are presented with browser options and limitations on Apple and Google’s abilities to establish certain rules.
The inquiry group also examined the UK mobile cloud gaming industry.
The group concluded that unlike the browser sector, there is no urgent need to intervene in the CMA market at this time.
This market was deemed to be of interest for the future, as it could cause competition issues.
This investigation reveals the increasing scrutiny that large technology companies face around the world.
Apple and Google face increased challenges as regulators strive to create a competitive digital world.
CMA’s approach is part of a wider trend among regulators to deal with potential anticompetitive behaviors in digital markets.
The UK’s reaction could be a model for other countries grappling with similar issues.
The Invezz published the following article: Apple and Google could face UK competition investigation over mobile browser dominance.
