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Apple's Sideloading Strategy: Navigating the Digital Markets Act in Europe

The Wall Street Journal Offers Insights on Apple's Approach to App Sideloading, but Questions Remain

NEWS  Apple  January 24, 2024  Reading time: 2 Minute(s)

mdo Max (RS editor)


In a significant move to comply with the Digital Markets Act (DMA) in Europe, Apple is gearing up to announce policy changes that will revolutionize its approach to app distribution on iOS. The impending deadline set for March has prompted speculation and anticipation, as the tech giant is expected to allow iPhone app sideloading for the first time.

However, the exact contours of Apple's strategy remain shrouded in uncertainty, with The Wall Street Journal purporting to have exclusive insights.

The DMA aims to curtail Apple's perceived monopolistic control over software on iOS by introducing measures that break down barriers to entry for third-party apps. The key change revolves around the introduction of app sideloading, enabling users to install applications from sources other than the official App Store.

Despite the apparent opening up of iOS to alternative app sources, The Wall Street Journal suggests that Apple plans to retain a level of control by continuing to impose fees and conduct app review processes for sideloaded apps. The intricacies of these fees, whether a commission based on revenue akin to In-App Purchase fees, are yet to be clarified.

Notably, Apple's current demand for a 27% commission from developers for external links to alternative payment systems in the US has raised eyebrows. Many developers initially believed they could evade Apple's standard 30% commission by steering clear of In-App Purchase. This discrepancy highlights the challenges developers may face in navigating Apple's evolving policies and raises questions about the financial implications of sideloading.

The report also raises concerns about how Apple intends to review apps not distributed through the App Store. If accurate, this revelation suggests that Apple could still wield substantial influence over the software running on iPhones, collecting fees on every app, even those sideloaded.

 

From a technical standpoint, Apple holds the power to implement a range of strategies, but the real litmus test lies in whether lawmakers find the implementation acceptable. The Digital Markets Act, while a step towards increased competition, remains somewhat vague on the compliance expectations for 'gatekeeper' companies like Apple. The European Commission is likely to follow up with additional requirements and enforcements after the March deadline, signaling that Apple's control may not be sustainable indefinitely.

The imminent announcement of iOS 17.4, expected to include provisions for sideloading in Europe, adds further intrigue to the unfolding narrative.

 COVER IMAGE: APPLE / REVIEW SPACE 

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