LONDON, 23 July 2025 — In a landmark move shaking the foundations of the global mobile technology world, the UK’s Competition and Markets Authority (CMA) has announced plans to clamp down on Apple and Google’s near-monopolistic control over mobile app distribution.
Today, the CMA laid bare its concerns over the “effective duopoly” Apple and Google hold. Their mobile platforms power an estimated 90 to 100% of mobile devices in the UK, according to CMA findings. The watchdog specifically flagged problematic practices including inconsistent app review processes, opaque app store ranking algorithms, and the controversial 30% commission charged on many in-app purchases.
Sarah Cardell, chief executive of the CMA, underscored the stakes in a statement published on GOV.UK. “Apple and Google’s mobile platforms are critical to the UK economy,” Cardell stated. “But our investigation has identified clear opportunities to boost innovation and choice, especially for British app developers who contribute roughly 1.5% to our economy and support around 400,000 jobs.”
The CMA is now formally proposing to designate both companies with Strategic Market Status (SMS) – a powerful new regulatory tool under the UK’s digital competition regime. Such a designation would enable the CMA to impose specific, legally binding obligations aimed at promoting fair competition and transparency within their mobile ecosystems.
Potential Interventions and Industry Pushback
Potential interventions outlined by the CMA include demands for Apple and Google to:
- Standardize and clarify their app review and ranking procedures, ensuring greater predictability for developers.
- Provide fair and transparent advance notice of any changes to platform policies that could impact developers.
- Establish effective and accessible channels for developers to raise grievances and appeal decisions.
- Allow developers to “steer” users out of app stores to complete purchases elsewhere, potentially bypassing the 30% commission, a measure that could drive innovation and financial savings, as reported by Computer Weekly.
Unsurprisingly, both Apple and Google pushed back against the proposals. Oliver Bethell, Google’s Senior Director of Competition, expressed disappointment, calling the CMA’s move “unwarranted” in a Google Blog post from June 24, 2025, warning that heavy-handed regulation could stifle innovation and growth in the UK tech sector. An Apple spokesperson, quoted by Tech Digest, voiced concerns that new rules might compromise user privacy and security, hinder innovation, and force them to relinquish their technology to competitors.
Epic Games Criticizes Pace of Reform
Yet, critics, particularly Epic Games, argue the CMA’s approach isn’t going far enough or fast enough. Epic Games, embroiled in a global battle over app store control following its long-running lawsuit against Apple, slammed the regulator for deferring more serious competition concerns until the first half of 2026. Epic lamented ongoing barriers preventing it from launching its own app store on Apple’s iOS in the UK and uncertainties around the return of its flagship game Fortnite to Apple devices.
The Epic Games v. Apple lawsuit, which began in 2020, saw a U.S. court rule that Apple could not prohibit developers from linking to external payment options, though Apple’s subsequent implementation of a 27% commission on such transactions led to further legal disputes, with a judge finding Apple in willful violation of the injunction in April 2025, as detailed on Wikipedia’s overview of the case. This ongoing legal pressure from developers and regulators mirrors concerns raised by the EU’s Digital Markets Act (DMA), which has seen the EU investigate Big Tech for DMA non-compliance, including Apple, Google, and Meta, and imposed fines on Apple for failing to comply with anti-steering rules regarding its App Store, as reported in articles like Apple App Store Europe changes DMA fine.
UK’s Broadening Digital Regulation Agenda
The CMA’s announcement comes amid growing pressure from Britain’s Labour government to prioritize tech sector growth and innovation, aiming to invigorate the economy and restore voter trust. Labour’s Industrial Strategy, released in June 2025, outlines ambitious plans for investment in AI, digital skills, and a more muscular state role in shaping digital markets, as reported by City AM. The strategy emphasizes the goal of owning and scaling domestic AI capabilities, which is undermined if the underlying platforms remain controlled by foreign hyperscalers.
The proposed SMS designations against Apple and Google are not isolated. Google already faces scrutiny under the CMA’s broader tech regime following a separate SMS investigation launched in January 2025, targeting its search and advertising practices. The CMA provisionally found Google meets the criteria for SMS in general search and search advertising activities as of June 2025. This signals the UK’s deepening resolve to challenge Big Tech’s pervasive grip across multiple digital domains, contributing to a global trend of increased regulatory scrutiny on tech giants, a theme also explored in discussions around how Europe must build its own tech or surrender to Silicon Valley forever.
Final decisions on designating Apple and Google with strategic market status are expected by October 22, 2025. Should the CMA proceed, this would mark a critical escalation in global efforts to rein in the dominance of Silicon Valley giants over app ecosystems, fostering greater competition and potentially leading to more innovation and choice for consumers and developers in the UK. This regulatory shift could significantly influence the landscape of the EU Economy and broader international digital policy.