Saturday, November 23, 2024

CMA Prepares to Challenge Apple and Google in Mobile Browsing Battle

A fresh inquiry into the mobile browser market is pushing the Competition and Markets Authority (CMA) to take a closer look at what Apple and Google are doing in the mobile ecosystem. They suggest the CMA should probe these companies but decided no further investigation into cloud gaming is necessary. The inquiry found that the mobile browser market isn’t functioning properly for many UK businesses and millions of users.

This situation sparked the CMA’s investigation after a 2021 study showed Apple and Google essentially control the mobile ecosystem, covering operating systems, app stores, and web browsers on smartphones. This dominance allows them to dictate how mobile browsers operate on iOS and Android.

The inquiry highlighted that Apple stops competitors from introducing new features that could enhance user experience. Rival browser developers expressed frustration over being unable to offer full functionality, like quicker webpage loading on iPhones. Many smaller UK app developers wish they could implement progressive web apps—an alternative method to deliver apps without going through an app store—but that hasn’t gained traction on iOS.

Moreover, there’s a revenue-sharing deal between Google and Apple that diminishes the financial appeal for other developers to create mobile browsers on iOS. The inquiry also noted that both companies can influence how users see their browser options, often making their own browsers the most visible choices.

Margot Daly, who chairs the inquiry group, stated that competition among mobile browsers isn’t thriving, which stifles innovation in the UK. She emphasized that markets function best when various companies can bring new options to consumers, yet current conditions hinder this competition. The group’s analysis suggests the CMA board should consider a range of possible interventions to tackle these identified market issues using their new digital market powers. This could involve designating companies with strategic market status while looking at how these markets interconnect with Apple and Google’s broader mobile ecosystems.

In the US, the Department of Justice is pushing for the sale of Google’s Chrome browser, following an anti-competitive ruling against the parent company, Alphabet, last August.