UK regulator pushes for strategic market status for Apple and Google

In the United Kingdom, the Competition and Markets Authority (CMA) has announced proposals to address the dominance of Apple and Google over mobile platforms. The significant announcement, made last Wednesday, aims to label these tech giants with 'strategic market status' to impose conduct requirements that could enhance competition in the mobile ecosystem. The CMA's investigations revealed that Apple and Google hold an effective duopoly, controlling between 90% and 100% of UK mobile devices, leading to concerns about unpredictable app reviews and high commissions on in-app purchases. As the regulator highlighted, this action is crucial to ensuring innovation and choice in the market, benefitting consumers and app developers alike. The CMA's findings showed that the two companies set the rules governing the functionality of mobile browsers on their devices. Furthermore, the authority noted issues surrounding app store transparency for developers and consumer choice, leading to potential calls for regulatory changes. Proposed measures include enabling app developers to route payments outside app stores and ensuring that app review processes are fair and transparent. These initiatives mirror similar efforts seen in the European Union aimed at increasing competition among tech companies. Both Apple and Google have expressed their discontent with the CMA’s recommendations. Apple voiced concerns over the potential risks to user privacy and security, arguing that these proposals might hinder its ability to innovate. Google, on the other hand, emphasized that its platform is open source, which it claims allows for greater choice and security for users while asserting that any regulatory changes should be evidence-based and proportionate. The CMA's proposal is currently open for feedback, with a final decision expected by October 22, 2025, injecting urgency into the dialogue surrounding mobile ecosystem regulations in the UK. The implications of this proposed status could resonate internationally and influence how mobile marketplaces operate globally, setting a precedent for regulatory frameworks across other jurisdictions in dealing with monopolistic practices by tech giants. As competition agencies around the world actively probe into the market activities of Big Tech, the regulator aims to ensure the UK does not lag behind in advancing consumer protections and promoting a climate conducive to competitive practices. If approved, the strategic market status could lead to more innovative digital solutions, improved consumer choices, and a more inclusive economic landscape as businesses would have greater opportunities to thrive in a once-closed market.