Apple will allow external app stores on EU iPhones
A win in the EU's Big Tech regulation
Apple will iPhone and iPad users to install outside app stores on their devices, in an effort to meet strict new rules coming from the European Union.
Citing people familiar with the matter, Bloomberg says Apple's software engineering and services teams are making significant changes to the company's platform to enable "alternative" app stores.
The move would allow customers to download third-party apps directly to their iDevices without using the official App Store, circumventing many of Apple's safety restrictions - and the up-to-30% fee the company charges on App Store transactions.
Apple apparently wants all the changes to be ready and included in an update for iOS 17 next year.
The upcoming EU regulation forcing Apple to rethink its approach is the Digital Markets Act (DMA), which became law in September - though companies have until 1st November 2024 to reach full compliance.
The DMA aims to level the playing field between tech giants and smaller developers, and to improve the interoperability between different services. Under the new rules technology firms must allow users to install programmes from third-party developers, and make it simpler for them to alter the system's default settings. The DMA also mandates equitable access to key functionality in apps and services for outside developers.
Tech firms with market values of at least €80 billion and at least 45 million monthly users within the EU are known as 'gatekeepers', and subject to the legislation.
Regulators and software developers have long complained that Apple and Google, the companies that manage the two largest mobile app stores, exercise excessive control as gatekeepers.
Apple's move has the potential to pave the way for similar initiatives in other regions if laws similar to the DMA are adopted in other countries. While politicians in the USA and other nations have pushed for such laws, they haven't yet made as much progress as the EU.
Although Apple is acting in accordance with the EU legislation, it is not happy with the DMA. The company has consistently argued that permitting the sideloading of apps from sources other than the App Store might result in privacy and security issues.
To help protect against unsafe apps, Apple could potentially mandate certain security requirements even if software is distributed outside its store.
'Such apps also may need to be verified by Apple - a process that could carry a fee,' according to Bloomberg.
Apple is said to be devoting a significant amount of resources for the new endeavour. Some engineers working on the idea see it as a distraction from the typical day-to-day development of new features.
Apple could also make additional concessions as a result of the DMA, sources told Bloomberg. The company may do away with the demand that other browsers, like Chrome, utilise Safari's WebKit rendering engine.
Third-party developers may also get access to other technologies in iPhones, like the NFC chip (currently exclusively utilised with Apple Pay) and private APIs.