Updated
Updated · Information Technology and Innovation Foundation · Jul 28
ITIF Urges UK CMA to Drop Apple, Google Steering Rules, Citing 90% EU Price Increases
Updated
Updated · Information Technology and Innovation Foundation · Jul 28

ITIF Urges UK CMA to Drop Apple, Google Steering Rules, Citing 90% EU Price Increases

1 articles · Updated · Information Technology and Innovation Foundation · Jul 28

Summary

  • June 30 CMA consultations on Apple and Google prompted ITIF to warn the proposed UK steering rules would do more harm than good by weakening app-store monetization and reducing incentives to invest in mobile platforms.
  • ITIF argued users may see little benefit from lower commissions because developers kept or raised prices 90% of the time after Apple cut EU commission rates by 10 percentage points in March 2024.
  • The group also said the draft rules are too narrow on privacy, security and IP defenses, allowing only limited exceptions for risks such as malware or fraud and restricting Apple and Google to a single interstitial warning screen.
  • On fees, ITIF said the CMA's cost-based approach would turn the regulator into a mobile price setter and misread platform economics, urging a value-based framework instead.
  • The comments frame the dispute as part of a broader UK growth debate, with ITIF arguing heavy-handed DMCCA enforcement could chill innovation in a sector it sees as important to productivity.

Insights

Will the UK's aggressive push to regulate app stores unleash digital fraud by silencing platform security warnings?
If developers bypass app store fees, who will ultimately pay the hidden costs of fraud and tax compliance?