Apple has announced a series of changes to iOS, Safari, and the App Store, set to take effect in March 2024, to comply with the European Union’s Digital Markets Act (DMA). These changes, including more than 600 new APIs, expanded app analytics, and alternative browser engine functionality, signify a major shift in Apple’s approach to app distribution and payment processing within the EU.
For the first time, EU users will be able to download apps from alternative app marketplaces, breaking away from the exclusive distribution through Apple’s App Store. Safari will prompt EU users to choose a default browser from a list upon first opening Safari in iOS 17.4 or later. In the App Store, developers will have new options for using payment service providers within their apps and for processing payments via external website links.
To mitigate potential risks like malware and fraud associated with these changes, Apple is introducing protective measures such as Notarization for iOS apps, authorization for marketplace developers, and disclosures on alternative payments. Additionally, Apple has introduced new business terms for apps in the EU, including reduced commission rates, an additional payment processing fee, and a Core Technology Fee for high-scale apps.
Despite these efforts to enhance user choice and developer flexibility, Apple has expressed concerns about the increased risks to user privacy and security due to these changes. The company acknowledges that while safeguards are in place, some risks will remain. These changes reflect Apple’s effort to align with the EU’s designation of its services under the DMA, but it remains to be seen whether they will fully satisfy the EU’s regulatory requirements. This development represents a significant moment in the tech industry, highlighting the impact of regulatory bodies on tech giants and the evolving landscape of digital marketplaces.
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