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Apple’s app store dominance under siege

by on13 March 2024


Major concession or orchestral manoeuvres in the dark?

Fruity cargo-cult Apple  has made a significant concession in its ongoing battle to maintain control over its App Store empire.

The tech giant announced yesterday that developers will now be free to distribute their apps directly to consumers, bypassing the App Store altogether.

To be fair, this is not what Apple wanted, it is a response to the European Union’s Digital Markets Act (DMA), which recently came into effect. The DMA aims to level the playing field and curb the dominance of tech giants like Apple, Amazon, TikTok, Meta Platforms, Alphabet’s Google, and Microsoft.

Jobs’ Mob has reaped the rewards of its tightly controlled walled garden for years. Developers wanting access to millions of iPhone and iPad users had no choice but to play by Apple’s rules. The App Store, with its hefty fees of up to 30 per cent, has been a cash cow for the company. But now, the winds of change are blowing.

Hargreaves Lansdown analyst Susannah Streeter said that the new policy allows developers to sidestep the App Store, but it’s not entirely free for all.

“While the App Store won’t be able to be milked as freely, it’s still likely to remain a considerable cash cow for some time.”

Developers must still adhere to Apple’s terms and conditions and be authorised by the company. Additionally, Apple has introduced a “core technology fee” of 50 euro cents per user account annually, even if developers choose not to use the App Store or its payment system.

The DMA has put tech giants on notice. With the European Union pushing for more competition and fairness, Apple’s dominance is facing its most significant challenge yet. While the changes currently apply only to the EU, they signal a broader shift in the tech landscape.

Starting this spring, European software developers can distribute their apps directly from their websites. Users in the EU will also have the option to install apps from alternative app marketplaces within iOS 17.4 and later. It’s a step toward breaking the App Store monopoly and giving smaller rivals a fighting chance.

Last modified on 13 March 2024
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