Apple (AAPL) has voiced its concerns over the U.K. Competition and Markets Authority’s (CMA) proposed measures to address competition issues in the mobile browser market. The tech giant argues that some of the regulator’s suggested remedies could negatively impact its incentive to innovate.
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This response follows the CMA’s investigation into Apple and Google’s (GOOGL) dominance in mobile browsers and cloud gaming markets, which began in late 2024. The probe found that competition among mobile browsers was weak, hurting innovation in the U.K.
Apple, Google Push Back Against UK Regulator’s Findings
Apple’s primary concern is related to the CMA’s proposed remedy to give the other developers free access to future WebKit or iOS features used by the company’s default browser, Safari. Also, Apple stated that developing these features takes a lot of time and money, and providing them free of charge would make it hard to recover those costs. The company thinks this could lead to “free-riding” and lower investment by other parties, which would hurt innovation.
Similarly, Google is not satisfied with the CMA’s findings regarding its Android choice architecture practices and revenue-sharing agreement with Apple. Also, it has asked the regulator to reassess the findings. Google argued that the CMA misinterpreted the evidence and said that it competes strongly with Apple’s mobile browsers.
Apple and Google Face Multiple Probes
In addition to the recent investigation into their dominance in mobile browsers and cloud gaming markets, Apple and Google are also under scrutiny over their app store practices. The key allegations include imposing high fees on developers and restricting other payment methods. Both companies are also under review for their data privacy practices, including how they collect, store, and use user data.
Google, in particular, has faced multiple probes related to its advertising practices. These include concerns about its monopoly in the digital advertising market and unfair competition practices. In fact, the U.S. Department of Justice (DOJ) has proposed breaking up Google as a remedy for its dominance in the search engine market.
These investigations highlight the ongoing global scrutiny of both tech giants as regulators seek to ensure fair competition and protect consumer interests.
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According to the TipRanks Stock Comparison Tool, both AAPL and GOOGL stocks have a Moderate Buy consensus rating. Moreover, analysts project an upside potential of 16.5% for Alphabet stock and 2.489% for Apple stock.
