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The UK's competition watchdog has launched an investigation into Apple and Google's mobile platforms, just days after the government forced their boss to resign as part of a drive to reduce the regulatory burden on companies.
the Competition and Markets Authority He said The committee will consider on Thursday whether the creators of the iPhone and Android smartphone operating systems should be subject to greater scrutiny over how they operate their mobile platforms, in its second investigation under the new digital markets regime.
This announcement comes just two days after the government Markus Bukerinic sent off As head of the Capital Markets Authority, amid concerns that the regulatory body does not focus enough on growth.
The surprise move has led many to speculate that Big Tech companies could be treated more leniently by the antitrust watchdog. The government appointed Doug Gore, who previously ran Amazon's UK business, as interim head of the CMA.
The Capital Markets Authority said on Thursday that it will examine how Apple and Google compete with each other, whether they favor their own apps and services, and whether developers are treated fairly.
Sarah Cardell, chief executive of the CMA, said: “More competitive mobile ecosystems can foster new innovations and new opportunities across a range of services used by millions of people, whether they are app stores, browsers or operating systems.”
She added: “Better competition can boost growth here in the UK, as companies are able to offer new and innovative types of products and services on the Apple and Google platforms.”
As part of the UK's Digital Markets, Competition and Consumer Act, which came into effect this month, the CMA can designate a small group of companies as having “strategic market status”, and impose conduct requirements, similar to the EU's Digital Markets Act.
Last week, the Capital Markets Authority opened the first case of its kind, the RReview of Google's dominance in search and advertising.
The CMA is already investigating Google and Apple in a separate investigation into mobile web browsers and cloud gaming, which provisionally found the companies “hinder competition” in browsers.
“The openness of Android has helped expand choices, lower prices, and democratize access to smartphones and apps. It is the only example of a successful, open-source mobile operating system. He said oliver Bethel, GoogleSenior Director of Competition.
He added: “We favor a way forward that avoids stifling choice and opportunity for UK consumers and businesses alike, and without risking the UK’s growth prospects.”
appleIt, which says its app platform supports hundreds of thousands of UK jobs, said it would “continue to work constructively” with the CMA.
“Apple believes in thriving, dynamic markets where innovation can flourish,” the company said. “We face competition in every sector and jurisdiction in which we operate, and our focus is always on the trust of our users.”
The CMA investigation will add to the global scrutiny the two companies already face over their dominance of the smartphone market.
Apple disagreed with Brussels several times last year over the implementation of the Digital Markets Law, making changes to its platform after the European Commission accused the iPhone maker of failing to comply with “online gatekeeper” rules.
If determined, the UK's 'strategic market status' lasts for five years and companies can be fined up to 10 per cent of their global turnover for breaches of the code of conduct.
The Capital Markets Authority said it would accept comments before February 12 and complete its investigations by October 22.