The UK’s Competition and Markets Authority (CMA) announced that they have launched a market study into Apple’s and Google’s mobile ecosystems over concerns they have market power which is harming users and other businesses.
The Competition and Markets Authority (CMA) is taking a closer look at whether the firms’ effective duopoly over the supply of operating systems (iOS and Android), app stores (App Store and Play Store), and web browsers (Safari and Chrome), could be resulting in consumers losing out across a wide range of areas.
The CMA is describing “mobile ecosystems” as a variety of products, content, and services such as music, TV and video streaming, fitness tracking, shopping and banking. They also include devices such as smart speakers, smart watches, home security, and lighting (which mobiles can connect to and control).
The purpose of the market study appears to be to determine whether the ecosystems of Google and Apple are stifling competition. CMA will also examine the effects of Google’s and Apple’s market power over other businesses, such as app developers, who rely on either Apple or Google to market their products to customers via their phones.
9to5Mac reported that the CMA views Apple and Google’s ecosystems as a “duopoly”. 9to5Mac also pointed out that the CMA’s investigation comes after a preliminary ruling from the European Commission that Apple’s mandated 30% cut of In-App Purchases unfairly diminished competition in music streaming.
Personally, I think it is probably a good idea for the CMA to investigate the Apple and Google “duopoly”. They may find that the situation is not really a problem after all. Or, they could discover reasons to induce changes in how both companies do things. Those changes might turn out to be really good for consumers.