“The policies that Apple and Google have in place in their own mobile app stores have created unnecessary barriers and costs for app developers, ranging from fees for access to functional restrictions that favor some apps over others. “Our review suggests that the mobile app store model has provided a range of benefits to both app developers and users, but has also created conditions of competition that are suboptimal,” the report states. The report summarizes what industry watchers already know: that the innovations made possible by mobile phones and downloadable apps have begun to be overshadowed by the barriers to entry to the market facing developers, the excessive and restrictive rules, the overcomplicated app review process, and the sizable commissions that developers are forced to pay for access to consumers’ devices. It also included a review of over 150 comments filed in response to a request for public comment last April. The investigation had been initiated as part of a 2021 Executive Order on competition and involved consultations with various industry stakeholders in the private industry, civil society, and academia, NTIA said.
A new report, issued on Wednesday by the Commerce Department’s National Telecommunications and Information Administration (NTIA), said it had investigated the competitive conditions in the mobile app ecosystem and found that it’s “not a level playing field, which is harmful to developers and consumers.” The report also made several policy suggestions that could improve the ecosystem and open up competition. The Biden administration is calling out Apple’s and Google’s app stores for stifling competition.
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