Apple planning huge change as a result of European legal push, report says

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Apple planning huge change as a result of European legal push, report says
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Apple was planning to allow multiple app stores on its phones and tablets in Europe, Bloomberg News reported. That would mark a major change for the company that has built its proprietary App Store into a monster business.

Apple Inc. has long operated as a walled garden, but the company is now expected to grow more open as governments around the world seek changes to its business.

Apple has maintained that its current App Store model offers security benefits to users as the company sets standards for apps and vets updates. But the App Store has been a lightning rod for several high-profile developers that have chafed at the cut Apple takes of digital purchases made through third-party apps on its devices. Even Elon Musk, the new owner of Twitter, has joined that chorus.

The reported change, however, wouldn’t be driven by a desire to appease developers out of benevolence. Rather, it seems aimed at compliance with forthcoming European Union regulations that seek to protect developers from those hefty commission fees. The Digital Markets Act, or DMA, will start taking effect next year. After its passage, industry experts expected that it would prompt Big Tech to allow alternative app stores or alternative ways to pay for in-app purchases on its devices, and changes have already been made — Google, which owns Android’s app store called Google Play, struck a deal with Spotify Technology SA SPOT, +1.54% earlier year allowing for a different type of payment method within the music-sharing app.

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