Challenges in EU: Meta’s View on Apple’s App Store Competition

Mark Zuckerberg

Apple has made some changes to its App Store policies and iOS software in the European Union, as a result of complying with the new Digital Markets Act (DMA) that is intended to prevent anti-competitive practices by tech giants. Apple has made one of the main changes to allow EU iPhone users to sideload apps from alternative app stores, which will end its monopoly in distribution.

Nevertheless, Meta- the parent company of Facebook and Instagram is not taken aback by Apple’s decision. Meta’s CEO Mark Zuckerberg said that Apple has made it extremely challenging for others to build competing app stores in the EU and is not sure of any developer who would want to choose the new terms offered by Apple. He also added that Meta has no intention to develop an in-house app store for iPhone users, stating that it will be a ‘very hard job’.

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As stated by Apple, to sideload apps for iPhone users within the EU will have some eligibility criteria; such as having an Apple ID billing address in the region and setting a current location on iOS settings from any of the countries that are part of this union with classes which support side loading. Apple also informed that it will charge a Core Technology Fee of €0.50 per annual installation for apps distributed outside the App Store, which could ruin business models like Meta’s free app model.

The EU regulators have not yet responded to Apple’s proposals, but they have been cautioned that they will closely observe them and take action should the suggestions prove unsatisfactory. The DMA will be enforceable on March 7, and Apple promises that iOS version 17.4 with the necessary updates will come to public use before then.

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