
"Among other findings, the CMA discovered that U.K. mobile device owners are unlikely to switch between Apple and Google's mobile platforms once they have adopted the ecosystem of their choice. It noted that both platforms require businesses to distribute apps through their app stores to reach consumers. Notably, it also said that new technologies, like AI, were "unlikely to eliminate Apple or Google's market power over the five-year designation period.""
""Apple and Google's mobile platforms are used by thousands of businesses right across the economy to market and sell products and services to millions of customers, but the platforms' rules may be limiting innovation and competition," Will Hayter, executive director for digital markets at the CMA, said in a statement. The CMA added that designating the platforms with SMS was not a finding of wrongdoing, however."
The U.K. Competition and Markets Authority (CMA) designated Apple and Google with strategic market status for their mobile platforms, covering operating systems, app stores, browsers and browser engines. The CMA launched investigations, consulted over 150 stakeholders, and held discussions with both companies before concluding that each firm holds substantial, entrenched market power. The CMA found that users rarely switch between the two ecosystems and that businesses must use the platforms' app stores to reach consumers. The CMA judged that new technologies like AI are unlikely to remove that market power over the five-year period. The designation permits proportionate, targeted interventions rather than being a finding of wrongdoing.
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