
So, complaints that Apple is using its market position to set terms which are unfair or may restrict competition and choice - potentially causing customers to lose out when buying and using apps - warrant careful scrutiny.”Īn Apple spokesperson sent us this statement in response to the CMA action: In a statement, Andrea Coscelli, chief executive of the CMA, also said: “Millions of us use apps every day to check the weather, play a game or order a takeaway. “This is only the beginning of the investigation and no decision has yet been made on whether Apple is breaking the law,” it added. “The CMA’s investigation will consider whether Apple has a dominant position in connection with the distribution of apps on Apple devices in the UK - and, if so, whether Apple imposes unfair or anti-competitive terms on developers using the App Store, ultimately resulting in users having less choice or paying higher prices for apps and add-ons,” it wrote in a press release. The U.K.’s Competition and Markets Authority (CMA) announced today that it’s opened an investigation following a number of complaints from developers alleging unfair terms and as a result of its own work in the digital sector. back.Apple is facing another antitrust investigation in Europe into how it operates the iOS App Store. “I think the aggressive comments from Microsoft really are intended to get British lawmakers and the British people to be really aware that this body, that I think is attempting to do good, may actually do more to set the U.K. “Microsoft is dancing an incredibly delicate ballet,” Hindlian-Bowler said. She also said it made sense for Smith to call out the CMA, a relatively new body formed several years before Britain’s exit from the EU. Macquarie Group analyst Sarah Hindlian-Bowler said it will “be challenging, but possible” for Microsoft to complete its Activision takeover without the U.K.’s support.


The regulator’s concern was over cloud gaming, or games streamed over the internet, which represents a tiny fraction of the industry today but where Microsoft, owner of the Xbox game system, already has the most powerful platform and would become more so with the Activision takeover, making it harder for other platforms to compete, Cardell said. is “absolutely open for business” and the regulator wants “to create an environment where a whole host of different companies can compete effectively, can grow and innovate.” Federal Trade Commission.Ĭardell defended the decision, saying the U.K. “They’re struggling to maintain that ‘good guy’ reputation,” von Thun said.Īfter adopting a confrontational attitude toward regulators at the turn of the century, Microsoft’s senior leaders, led by Smith, have spent years crafting a friendlier and collaborative approach, said William Kovacic, former chair of the U.S. Now, it’s back, both as a powerhouse in sectors such as artificial intelligence and cloud computing and as a target for antitrust enforcement.

It was eclipsed for a time by rivals like Google, Facebook and Amazon, which drew closer scrutiny from both Wall Street and regulators. “Basically, this is Microsoft and Brad Smith throwing their toys out of the pram after they didn’t get the decision they wanted after all the lobbying they did,” said Max von Thun, director of the Europe office of the Open Markets Institute, a proponent of stronger antitrust enforcement.Īfter legal battles starting in the late 1990s, Microsoft came close to having to break up its business but ended up agreeing to concessions instead.
