US House introduces companion bill taking aim at Apple, Google app stores
Lawmakers in the U.S. House of Representatives have introduced a new bill targeting the Apple App Store and Google Play just a few days after similar legislation was introduced in the Senate.
The House bill, introduced by Republican Rep. Ken Buck and Democratic Rep. Hank Johnson on Friday, would ban technology companies from requiring developers to use first-party payment systems or distribution methods, Reuters has reported.
"For far too long, companies like Google and Apple have had a stranglehold on app developers who are forced to take whatever terms these monopolists set in order to reach their customers," Buck told Reuters.
The legislation is a companion bill to a similar bipartisan measure introduced in the U.S. Senate on Wednesday. Both bills are dubbed the "Open App Markets Act."
In a statement, Buck's office said that U.S. consumers spent nearly $33 billion on mobile app stores in 2020 and downloaded nearly 13.4 billion apps.
Major app stores like those maintained by Apple and Google have come under scrutiny in recent years. Both the App Store and Google Play take a 30% commission on app and in-app purchases -- a policy that developers like Epic Games have taken issue with.
Apple requires developers to distribute apps only through the App Store on iPhone and iPad devices. Google, for its part, says that it's easier to use alternate app stores on Android, with many devices coming with multiple app marketplaces preloaded.
In addition to the Open App Markets Act, the U.S. House earlier in 2021 also introduced a sweeping antitrust package that could bar major technology companies from boosting their own apps over competitors or acquiring rising rivals.
Read on AppleInsider
The House bill, introduced by Republican Rep. Ken Buck and Democratic Rep. Hank Johnson on Friday, would ban technology companies from requiring developers to use first-party payment systems or distribution methods, Reuters has reported.
"For far too long, companies like Google and Apple have had a stranglehold on app developers who are forced to take whatever terms these monopolists set in order to reach their customers," Buck told Reuters.
The legislation is a companion bill to a similar bipartisan measure introduced in the U.S. Senate on Wednesday. Both bills are dubbed the "Open App Markets Act."
In a statement, Buck's office said that U.S. consumers spent nearly $33 billion on mobile app stores in 2020 and downloaded nearly 13.4 billion apps.
Major app stores like those maintained by Apple and Google have come under scrutiny in recent years. Both the App Store and Google Play take a 30% commission on app and in-app purchases -- a policy that developers like Epic Games have taken issue with.
Apple requires developers to distribute apps only through the App Store on iPhone and iPad devices. Google, for its part, says that it's easier to use alternate app stores on Android, with many devices coming with multiple app marketplaces preloaded.
In addition to the Open App Markets Act, the U.S. House earlier in 2021 also introduced a sweeping antitrust package that could bar major technology companies from boosting their own apps over competitors or acquiring rising rivals.
Read on AppleInsider
Comments
The pegasus debacle just showed that there is room for improvement on the iOS side, but an hardened version of iOS will also prevent viruses regardless if loaded from an App Store or side loaded.
There's also the recent health apps that had to abide by Apple's and Google's privacy measures, they will be able to bypass those protections and implement full device tracking.
One of the conditions in the legislation is being able to remove preinstalled apps and app stores. If that happens, network carriers will install their own app stores as the default stores like Amazon does with the Kindle. In China, Tencent (major shareholder in Epic) will try to bundle their store as the default on iPhones and the US will lose billions in revenue from China.
Other app stores will buy their way onto devices the way Epic has done with their PC store. They will spend hundreds of millions on game and app exclusives to encourage users to install that store and then that store has the ability to infect millions of people with malware/adware.
Apple can prepare for this outcome and develop active threat protection. This would be a piece of software that runs all the time against unvetted software and drains battery life. They can also flag warnings when the apps try to access suspect networks, location tracking or write files into sensitive locations. They can also charge for accessing their device APIs like requests to their OS stack like Metal.
This kind of legislation is anti-competitive in itself because it would reduce Apple's ability to compete in mobile gaming against companies like Nintendo who would be allowed to continue operating closed stores and who could even setup their own store on iOS. Nintendo would get 100% of the revenue from their own games on iOS and a 30% cut of 3rd party apps on their store on Switch while Apple gets nothing despite making the entire platform.
Another option Apple has is to shut down the App Store in the US, either partially or entirely. The iPhone works perfectly well without a store. The legislation targets companies "that own or control an App Store for which users in the United States exceed 50,000,000". If they keep their US App Store users below 50m, they don't qualify. They can make sure to cover states that vote against the bill and block users in states that vote for it and inform those users if they want access to the store how they can vote for better political candidates.
There are many options Apple has to counter this, it will drag on for years without any meaningful resolution and it will just cause users problems using their smartphones that they never had problems with before.
Yes, this is partly the result of shutting down apps based on who you don't agree with politically but the ill will was already there across the spectrum and I feel that just sped up things that were already in motion.
Not sure how many remember but once upon a time you could only get telephones from your local telephone carrier office and boy was that place depressing. Your options were desk or wall phone and you had I believe 3 options for how long the cord was. You did have options from the drab color line of Black, Brown, Olive Green and Orange. But that was it. They did not care as they had the right to do whatever they wanted with "their" phone. You even heard some of the same arguments then that you do today. Alexander Graham Bell was the capitalist who created the telephone and the patents were passed to his company the bells and because of that we have the right to only give phones to the "right" people. It wasn't until the bells were broken up that you had innovation in the telecom market.