Trends
Apple loses battle to defend European app shops since DMA
In response to the DMA’s request, Apple has made concessions and many changes, such as allowing developers to distribute their apps directly to consumers for free and permitting Epic Games to open its app stores on iPhone and iPad in Europe. Apple made its latest concession to allow developers to di…
Headline
In response to the DMA’s request, Apple has made concessions and many changes, such as allowing developers to distribute their apps directly to consumers for free and permitting Epic Games to open its app stores on iPhone and iPad in Europe. Apple made its latest concession to…
Context
In response to the DMA’s request, Apple has made concessions and many changes, such as allowing developers to distribute their apps directly to consumers for free and permitting Epic Games to open its app stores on iPhone and iPad in Europe . Apple made a major concession in its battle to protect the dominance of its App Store on iPhones and other devices in Europe on Tuesday. Developers will be free to distribute their apps directly to consumers.
Evidence
Pending intelligence enrichment.
Analysis
The European Union’s Digital Market Act (DMA) kicked in last week. Apple announced changes in compliance with the DMA that could impact its high-profit margins and steady revenue stream, where it charges developers fees of up to 30%. Rivals have criticized Apple for not fully complying with the rules, and under pressure, Apple has made these changes that only affect the European market. From this spring, software developers in Europe can distribute apps to EU customers directly from their own websites instead of through the App Store. “While the App Store won’t be able to be milked as freely, it’s still likely to remain a considerable cash cow for some time as there are strings attached to this peace offering from Apple,” said Susannah Streeter, head of money and markets at Hargreaves Lansdown. Also read: Apple to allow users in EU to download apps from third parties
Key Points
- Under concession to DMA, Apple makes its changes to allow developers to distribute their apps directly to consumers for free.
- With the changes, Apple is facing many challenges.
Actions
Pending intelligence enrichment.
