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[FCE] Apple and Google pledge not to discriminate against third-party apps in UK deal

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In a significant development for the digital marketplace, tech giants Apple and Google have recently made voluntary commitments to the UK’s Competition and Markets Authority (CMA). These agreements aim to address concerns about the companies’ dominant positions and their potential impact on competition within mobile app ecosystems. For now, these pledges have allowed both firms to avoid legally binding measures that the CMA could have imposed.

The CMA’s intervention follows its findings last year that Apple and Google possess “substantial and entrenched market power” in the mobile platform sector. This means their influence is so significant that it is exceptionally difficult for other companies to challenge. Their respective app stores serve as crucial gateways for almost all mobile phone users across the UK, giving them immense sway over how third-party applications operate and compete.

Under the new agreements, both Apple and Google have vowed to enhance transparency in the process of reviewing third-party applications before making them available in their stores. They have also committed to ensuring that these competing apps are not unfairly discriminated against in search rankings. Furthermore, the companies have promised not to exploit data collected from third-party apps – for example, by using insights into a rival’s updates to improve their own competing products. Apple has also made an additional commitment to grant app developers easier access to its integrated features, such as the digital wallet and live translation services for AirPod users.

However, these voluntary promises have been met with a mixed reception. While the CMA views them as a prompt and effective way to tackle its immediate concerns, critics argue that the changes are “lightweight” and lack the necessary legal enforceability. A major point of contention remains the high fees, often as much as 30%, that Apple and Google charge developers for sales made through their app stores. This ongoing issue is a significant “bugbear” for many developers, and the CMA is continuing to explore how to address it.

The CMA has made it clear that if Apple and Google fail to implement these commitments effectively, it will not hesitate to impose formal measures, utilising new enforcement powers at its disposal. These new agreements are scheduled to come into effect from April 1st. Both Apple and Google have publicly expressed their appreciation for the opportunity to resolve the CMA’s concerns collaboratively, emphasising their dedication to fostering competition and growth within their digital ecosystems.

阅读练习

1. What is the main purpose of the article?

  • A. To criticise Apple and Google for their market dominance.
  • B. To detail the CMA’s plans for new enforcement powers.
  • C. To report on voluntary agreements between tech giants and the CMA regarding app store fairness.
  • D. To explain why app developers are unhappy with Apple’s and Google’s fees.

2. According to the article, which of the following is NOT one of the commitments made by both Apple and Google?

  • A. To be more transparent about vetting third-party apps.
  • B. To avoid unfair discrimination in search rankings.
  • C. To stop charging high fees for in-app sales.
  • D. To refrain from unfairly using data from rival apps.

3. What does the term “lightweight” suggest about the critics’ view of the commitments?

  • A. They believe the commitments are easy for the companies to implement.
  • B. They think the changes are insufficient and lack real impact.
  • C. They imply the commitments are not difficult to understand.
  • D. They suggest the agreements will not add much to the app stores.

4. In the second paragraph, what does “immense sway” mean in relation to Apple and Google’s app stores?

  • A. They have a powerful influence.
  • B. They cause instability in the market.
  • C. They move frequently between different positions.
  • D. They offer a large variety of options.

5. What is the CMA’s stance regarding the long-standing issue of high app store fees?

  • A. They have successfully negotiated a reduction in fees.
  • B. They have decided to impose formal measures on this issue immediately.
  • C. They are still considering how to address this problem.
  • D. They believe the voluntary commitments will indirectly resolve the fee issue.