Apple’s smaller rivals unite to fight iPhone app store rules

  • Comments
  • Print
Listen to this story

Subscriber Benefit

As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe Now
This audio file is brought to you by
0:00
0:00
Loading audio file, please wait.
  • 0.25
  • 0.50
  • 0.75
  • 1.00
  • 1.25
  • 1.50
  • 1.75
  • 2.00

Spotify and the makers of Fortnite and Tinder are taking on Apple and Google as part of a newly formed coalition calling for “fair treatment” in the way the tech giants run their app stores.

The Coalition for App Fairness, a Washington-based not-for-profit, launched Thursday and will advocate for legal and regulatory changes, such as measures that could block Apple and Google from favoring their own apps in the iPhone and Android operating systems they control. The activism from smaller rivals adds to scrutiny the tech giants are facing from U.S. and European regulators and lawmakers.

The group aims to be the “voice of app and game developers in the effort to protect consumer choice and create a level playing field for all,” said a statement from Horacio Gutierrez, head of global affairs and chief legal officer for music-streaming pioneer Spotify.

Apple is the group’s main target, though Google’s app store policies are also on its radar. Both companies this summer dropped the popular game Fortnite from their app stores after the game’s developer introduced a direct payment plan that bypasses their platforms.

Apple and Google both take a 30% cut from in-app revenue purchases, which has long been a sore spot with developers.

Fortnite’s developer, Epic Games, responded by suing the companies over what it sees as anti-competitive behavior. Epic is backing the new coalition along with Spotify, online dating app maker Match Group, and other members including Tile, Basecamp, ProtonMail and European media industry associations.

In addition to the app stores, Big Tech is facing fresh scrutiny from antitrust regulators. As the Trump administration moves toward antitrust action against search giant Google, it’s campaigning to enlist support from sympathetic state attorneys general across the country.

The anticipated lawsuit against Google by the Justice Department could be the government’s biggest legal offensive to protect competition since the ground-breaking case against Microsoft almost 20 years ago.

Lawmakers and consumer advocates accuse Google of abusing its dominance in online search and advertising to stifle competition and boost its profits.

Please enable JavaScript to view this content.

Editor's note: You can comment on IBJ stories by signing in to your IBJ account. If you have not registered, please sign up for a free account now. Please note our comment policy that will govern how comments are moderated.

2 thoughts on “Apple’s smaller rivals unite to fight iPhone app store rules

  1. I’m not defending Apple or Google, but aren’t they for-profit companies giving developers an opportunity to sell their items? What’s next, tou manufacturers will sue Walmart when they won’t sell their products? What am I missing here?

    Apple spent billions, trillions? developing their products. They should have a say in what is able to be on them, in my opinion.

  2. @David G: “…They should have a say…”
    .
    “a say” or absolute control?
    .
    Slashdot carried this story: https://www.bloomberg.com/news/articles/2020-09-25/google-to-increase-push-for-apps-to-give-cut-of-in-app-purchases
    .
    Does this mean traditional “copper” telcos should be entitled to a cut of any business transactions which take place via their existence?
    .
    Perhaps instead of allowing a handful of companies forming oligopolies to have absolute power it might be interesting to go with the Huey, Dewie, and Louie concept Bork had when it came to Microsoft many years ago: create three companies, give each equal copies of the resources, and allow them to determine whether they should decide whether to start out as clones of each other or to focus on a subset. Microsoft saw the light when it comes to benevolence as a company and is going the route of open source. Now it’s just a matter of everyone being in a “hurry up and wait” mode while they OS things in a trickle instead of a fire hose.

Get the best of Indiana business news. ONLY $1/week Subscribe Now

Get the best of Indiana business news. ONLY $1/week Subscribe Now

Get the best of Indiana business news. ONLY $1/week Subscribe Now

Get the best of Indiana business news. ONLY $1/week Subscribe Now

Get the best of Indiana business news.

Limited-time introductory offer for new subscribers

ONLY $1/week

Cancel anytime

Subscribe Now

Already a paid subscriber? Log In

Get the best of Indiana business news.

Limited-time introductory offer for new subscribers

ONLY $1/week

Cancel anytime

Subscribe Now

Already a paid subscriber? Log In

Get the best of Indiana business news.

Limited-time introductory offer for new subscribers

ONLY $1/week

Cancel anytime

Subscribe Now

Already a paid subscriber? Log In

Get the best of Indiana business news.

Limited-time introductory offer for new subscribers

ONLY $1/week

Cancel anytime

Subscribe Now

Already a paid subscriber? Log In