U.K. Competition Authority Finds Apple and Google’s Mobile Browsers Stifle Innovation
A recent investigation by the U.K. competition authority has revealed that Apple and Google’s mobile browsers are hindering innovation, potentially impeding economic growth in the process.
The report highlights how mobile browsers serve as the primary gateway for consumers to access the web on their mobile devices, limiting new features for users and restricting businesses’ ability to reach consumers effectively.
The investigation primarily focuses on Apple’s policies regarding mobile browsers on iOS devices. Issues identified include Apple’s requirement for other browsers to use its WebKit engine, giving Safari preferential treatment in accessing key platform features, and revenue-sharing agreements between Google and Apple for search ad revenue on Safari and Chrome on iOS.
Enforcement Actions Pending
Despite the concerning findings, no enforcement actions have been initiated yet. The report suggests waiting for special abuse control powers to be activated, which could lead to potential remedies for the identified anti-competitive practices.
The report recommends against using standard market investigation powers to address these concerns, citing significant risks to their effectiveness.
Cloud gaming, which was part of the inquiry, was removed from the investigation following changes by Apple to alleviate competition concerns.
Proposed Remedies
The final report outlines potential remedies to address the mobile browser competition issues. Suggestions include allowing alternative browser engines on Apple devices, requiring equivalent access to iOS features for rival browsers, and regulating how Google displays browser choice screens.
While these proposed remedies are not part of the current market investigation, they provide insight into how regulators may enforce regulations on Apple and Google’s mobile dominance in the future.
The investigation is ongoing, with the Digital Markets Unit expected to conclude strategic market status investigations on Apple and Google later this year.
Conclusion
In a statement, Margot Daly, chair of the CMA’s independent inquiry group, emphasized the importance of considering the report’s analysis and potential interventions to address market issues in the digital landscape.
Apple and Google have been contacted for comment on the final report, with Apple expressing concerns about the proposed remedies impacting privacy, security, and user experience.
The CMA’s continued engagement with Apple and Google will play a crucial role in addressing the competition concerns raised in the report.
