US Government Initiates Investigation into iOS and App Store’s ‘Unique Barriers’

BY Chandraveer Mathur

Published 29 Apr 2022

App Store on iPhone Home screen

At the behest of the US government’s Department of Commerce, the National Telecommunications and Information Administration (NTIA) has launched an investigation into anti-competitive practices prevalent in mobile app ecosystems in the country. Apple’s App Store and policies limiting app sideloading have also been caught in the crosshairs.

President Joe Biden’s executive order on Promoting Competition in the American Economy, signed in July last year, set off this investigation. The investigation intends to improve competition and reduce the barriers to entry in the market.

“The American information technology sector has long been an engine of innovation and growth, but today a small number of dominant Internet platforms use their power to exclude market entrants, to extract monopoly profits, and to gather intimate personal information that they can exploit for their own advantage. Too many small businesses across the economy depend on those platforms and a few online marketplaces for their survival…”

The App Store policies are reportedly likely to come under the scanner for the unavailability of other channels to distribute apps on iOS. Additionally, the investigation lays emphasis on iOS’ “unique barriers” that prevent developers from sideloading and deploying progressive web applications (PWAs) for cross-platform use.

Now, the Federal register is welcoming comments from the general public about the state of competition in the mobile app ecosystems. The information gathered in this investigation will be used to bolster President Biden’s competition agenda later in the year. The request for comments reads:

“The app economy is becoming a fundamental way that Americans interact with their environment. Thus, it is critical that this market be robust, open, innovative, and secure—and without barriers to entry and growth.”

Apple’s App Store and ecosystem are no stranger to scrutiny. Its policies have been hotly debated in lawsuits such as the one filed by Fortnite developer Epic Games. The iPhone maker has also faced antitrust investigations in other parts of the world, such as the European Union, where dating app developers in the Netherlands objected to App Store policies.