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Australia’s competition watchdog has launched an investigation into how Google and Apple run their app stores for Android and iOS devices.
The Australian Competition and Consumer Commission, in its latest action targeting digital platforms, announced on Tuesday that it would examine app stores with a focus on how data is used and shared.
The ACCC will examine how Google and Apple link their own products in their app stores, what effect this has on competition, competition between stores, fees charged to companies in app stores, transparency around how they are They classify the applications and whether the processes are to protect people from harmful applications.
The commission highlighted in a thematic document several complaints regarding app stores globally, including that Google and Apple take between 15% and 30% of each in-app purchase and that Apple, as the guardian of their store, supposedly preferred its own apps to its competitors. ‘applications in the search results.
The document also references the recent fight between Epic Games, the developer of the incredibly popular video game Fortnite, and Google and Apple.
Fortnite was removed from both app stores after Epic Games sought to bypass in-app purchase systems in both stores to prevent Google and Apple from taking a large percentage of sales. Epic Games is now taking legal action against both companies.
ACCC Vice President Delia Rickard said applications are becoming increasingly important to business growth.
“We want to know more about the mobile application market in Australia, including how transparent and effective the market is, for both consumers and those operating in the market,” he said.
“For developers and app providers, earning a spot in a major app store can lead to significant sales, while not gaining access can be a major setback. We look forward to providing more transparency on how this process works. “
A Google spokesperson said the company would engage constructively with the ACCC, as it has since the investigation on digital platforms began.
“For the sake of transparency, we have been open to dozens of on-demand meetings and have provided thousands of documents to assist in the process,” he said.
Guardian Australia has asked Apple for comment.
Consumers and developers have been asked to submit their research submissions by October 2 and a report will be released in March 2021.
It comes as the ACCC is also finalizing a mandatory code that would require Google and Facebook to pay media companies to use their content. Google has launched a public advertising campaign against the code, while Facebook has threatened to remove all news from Australian channels.
Prime Minister Scott Morrison has said he would not respond well to threats from tech companies.
