Senator Warren, Blumenthal, and Blackburn team up to introduce a new law for Google and Apple app store


New rules will soon be imposed on dominant App stores as Senator
Warren, Blumenthal and Blackburn introduced a bill on Wednesday to rein in the
companies.
The Open App Markets Act will place new limits on the operations of Apple and Google app stores and aims to boost competition.
The new bill will protect consumers and app developers by regulating
the app stores that force app developers to use their payment system, impose
restrictions on apps that offer different pricing and conditions, and keep
developers from communicating with app users about “legitimate business
offers.”
"I found this predatory abuse of Apple and Google so deeply
offensive on so many levels," Blumenthal said in an interview.
He adds, "Their power has reached a point where they are impacting
the whole economy in stifling and strangling innovation."
Apple and Google, who are dominant players have a longstanding dispute
with app developers because of their predatory abuse, which is now getting
public attention.
Top companies like Epic Games, Tinder, Spotify, etc are already at odds
with rules imposed on them by Apple stores.
Apple in a statement clarified that its app store “is the cornerstone of our work to connect app developers and customers in a way that is safe and trustworthy. The result has been an unmatched economic growth and innovation.”
Google declined to comment on this new bill. But they have earlier
claimed that its Android system gives more flexibility than others. Device
makers and carriers can install their own apps alongside Google apps.
Developers have alleged that app stores compete with them by using
knowledge of their markets. Spotify has charged that Apple, which has its own
music streaming service, “routinely rejects bug fixes and app enhancements that
would improve user experience and the app’s functionality” while no such
restrictions were levied on its own service.
The bill would also allow apps to be downloaded from third-party app
stores. While Google allows apps to be sideloaded, but Apple allows only the
app that is installed from their store due to security concerns.
The bill does give Apple and Google to make the case that they continue
using their in-app payment systems and other protocol for user privacy or
security and prevention of fraudulent activities.

Shivangi Mujumdar
CBW - External Analyst
INDIA
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