Competition and Markets Authority will look closely at the openness of Google and Apple’s mobile platforms after designating both with strategic market status
Competition and Markets Authority will look closely at the openness of Google and Apple’s mobile platforms after designating both with strategic market status
Following a nine-month investigation, the Competition and Markets Authority (CMA) has designated Google’s provision of its mobile platform with strategic market status (SMS). The CMA stated that Google’s substantial market power in the provision of its mobile platform is entrenched — Apple has also been designated with SMS.
Google’s business in the UK is estimated to be worth between $10bn and $20bn annually. Earlier this month, the CMA announced that Google search and search advertising had been categorised as SMS. The SMS categorisation for its mobile service means the regulator will now be looking closely at the openness of the company’s mobile platform.
“Apple and Google’s mobile platforms are used by thousands of businesses right across the economy to market and sell products and services to millions of customers, but the platforms’ rules may be limiting innovation and competition,” said Will Hayter, executive director for digital markets at the CMA.
The CMA further stated in its final decision filing: “Given the important role Google’s mobile platform plays as an essential gateway for UK mobile users accessing digital content and services, and for UK businesses developing and distributing digital content and services for mobile, it is imperative that these groups are treated fairly and have trust and confidence in their ability to use it.
