Apple and Google may face action over mobile phone dominance, says UK watchdog

Apple and Google may be forced to make changes to their mobile platforms as current rules could be “limiting innovation and competition”, the UK’s competition watchdog has found.

The Competition and Markets Authority (CMA) said the two tech giants had substantial and entrenched market power with their platforms.

It confirmed they were given so-called “strategic market status” as a result of an investigation into their mobile platforms.

The decision means the regulator can now choose to intervene to open them up to more competition that it says will benefit consumers and businesses.

Dominating

The CMA gained new powers at the beginning of the year to clamp down on players it believes are dominating digital markets.

It launched investigations into Apple and Google’s mobile platforms, which incorporates their operating systems, including iOS and Android, app stores and browsers that appear on mobile phones.

Will Hayter, executive director for digital markets at the CMA, said: “Apple and Google’s mobile platforms are used by thousands of businesses right across the economy to market and sell products and services to millions of customers, but the platforms’ rules may be limiting innovation and competition.

“Having taken into account the feedback received since our proposed decision, we have today designated Apple and Google’s mobile platforms with strategic market status.”