Apple Could Be Forced to Follow New Digital Competition Rules or Face Fines, Under UK Proposal

The U.K. government is today unveiling its plan to regulate tech giants, such as Apple, to ensure that the U.K's digital market, which includes platforms such as the App Store, is open for competition, and not dominated by any particular company.

app store blue banner uk fixed
In April, the U.K. created the DMU or Digital Markets Unit under the Competition and Markets Authority. With newly given powers, that new unit will now be able to designate big tech companies as "Strategic Market Status." Companies with the SMS status will be required to "follow new rules of acceptable behavior" that aim to boost competition and growth for the economy.

The Digital Markets Unit (DMU) will be given the power to designate tech firms that hold substantial and entrenched market power with 'Strategic Market Status' (SMS). This will require them to follow new rules of acceptable behaviour with competitors and customers in a move that will benefit the public and drive growth and innovation across the economy.

The DMU, launched in non-statutory form within the Competition and Markets Authority (CMA) in April, will work alongside firms to inject stronger competition into the digital tech sector resulting in more innovation and fairer terms for UK businesses, including startups, news publishers and advertisers. It will bring better consumer choice and control, making it easier for people to take their business elsewhere.

While no companies are directly listed as being designated as "Strategic Market Status," the U.K. has been ramping up its investigations and concerns against Apple. The U.K. and others have been investigating Apple over concerns that it holds a dominant position in the markets that it operates in, a rhetoric Apple has pushed strongly against. Countries are also concerned about alleged anti-competitive behavior undertaken by Apple.

One of the largest concerns of governments, and the catalyst behind Apple's legal battle with game developer Epic Games, is the ‌App Store‌. Apple only allows users to download apps on iPhone and iPad from its ‌App Store‌ platform, which it controls. Apple must approve all apps that go onto the store, and there has been rising pressure for the company to allow users to "sideload" apps, giving users the freedom to download apps beyond the platform.

As part of the new proposal, the Digital Markets Unit may require that companies avoid restricting users to a specific or "default" service to prevent them from limiting competition. That new requirement would branch under a new "mandatory code of conduct" that tech companies would need to follow. If a company fails to follow the code, it could be subjected to fines or could be forced to overturn decisions.

The consultation seeks views on the objectives and powers of the DMU and details a new mandatory code of conduct, which will set out what is expected of firms for fair trading, open choices and trust and transparency. This could include tech platforms not pushing their customers into using default or mandatory associated services, or ensuring third party companies that depend on them aren;t blocked from doing business with competitors.

The code will be underpinned by robust investigation and enforcement powers. These may include imposing fines of a maximum of 10 per cent of a firm's turnover for the most serious breaches.

The DMU could also be given powers to suspend, block and reverse code-breaching behaviour by tech giants - for instance unfair changes in their algorithms or T&Cs - and order them to take specific actions to comply with the code.

One direct implication for Apple could be the DMU overturning decisions it makes regarding the ‌App Store‌. Apple has policies that govern the ‌App Store‌ and a development agreement that all developers must consent to before distributing apps on the platform. Under the proposal, the DMU could possibly overturn some of Apple's ‌App Store‌ decisions, such as what apps are rejected, or even the direct terms and conditions that developers must agree to.

The ‌App Store‌ and its governing policies came under the spotlight last August when ‌Epic Games‌, the makers behind the hit game Fortnite, breached Apple's ‌App Store‌ Guidelines by introducing an unauthorized payment method for in-app purchases. Some are concerned that Apple uses its ‌App Store‌ Guidelines as an unfair way to limit competition.

The U.K's Digital Secretary, Oliver Dowden, called the new measures a "champion" effort to give smaller companies a chance to compete in the digital market and to "make sure" that tech companies play by the rules.

So we will be giving our new Digital Markets Unit the powers it needs to champion competition and drive growth and innovation, with tough fines to make sure the biggest tech firms play by the rules.

Apple has been contacted for a response to the new proposal and we'll update this if we hear back.

Popular Stories

iPhone Air

Report: 'Virtually No Demand' for iPhone Air

Wednesday October 22, 2025 3:22 am PDT by
Apple is "drastically" cutting production of the iPhone Air and shifting focus toward the iPhone 17 and iPhone 17 Pro models, Nikkei Asia reports. The business publication claims to have learned of a major cut to iPhone Air production motivated by weaker-than-expected consumer interest, nearly to "end of production levels." Despite early reports of the iPhone Air selling out within hours of...
sam sung auction

Former Apple Employee Sam Sung Changed His Name to Avoid Attention

Wednesday October 22, 2025 4:44 pm PDT by
Back in 2012, an Apple retail employee named Sam Sung went viral because his name is similar to Samsung, one of Apple's main competitors. In a recent interview with Business Insider, he detailed that period in his life, how Apple responded, and he explained why he ultimately changed his name. Someone posted an image of Sung's Apple business card on Reddit in 2012, and it spread rapidly....
iOS 26

iOS 26.1 Coming Soon With These 8 New Features for Your iPhone

Wednesday October 22, 2025 6:15 am PDT by
The upcoming iOS 26.1 update includes a handful of new features and changes for iPhones, including a toggle for changing the appearance of the Liquid Glass design, "slide to stop" for alarms in the Clock app, and more. iOS 26.1 is currently in beta testing. The update will likely be released in the first half of November, and it is compatible with the iPhone 11 series and newer, but some...
cadillac lyric infotainment

GM to Remove CarPlay from All Future Vehicles, Including Gas Cars [Updated]

Wednesday October 22, 2025 11:34 am PDT by
General Motors began phasing out support for CarPlay in its electric vehicles back in 2023, leading to complaints from iPhone users, but the company has no plans to back down. In fact, GM is going further and plans to remove CarPlay from all future gas vehicles, too. In an interview with The Verge, GM CEO Mary Barra said that the company opted to prioritize its platform for EVs, but the...
All Screen iPhone 2027 Feature 1

Apple's Plan to Launch Three New iPhone Designs Allegedly Revealed

Wednesday October 22, 2025 6:24 am PDT by
Apple plans to launch a new type of iPhone every year for the foreseeable future, according to an Asia-based source. The detailed information was shared by the account "yeux1122" in a blog post on the Korean platform Naver, citing domestic trend and component research companies. Corroborating other reports, Apple will apparently launch its first foldable iPhone in 2026, featuring a...
iOS 26 Battery Glass Feature

iOS 26.1 Beta Liquid Glass Battery Drain Test: Tinted vs Clear Mode

Friday October 24, 2025 2:30 pm PDT by
In the fourth iOS 26.1 beta, Apple added a "Tinted" option that reduces the translucency of Liquid Glass for those who prefer a more opaque look. I saw some comments wondering whether the setting might preserve battery life, so I thought I'd do some testing. Test Settings I did four separate tests using the iPhone 17 Pro Max, and I kept the parameters as similar as possible. Here are the...
All Screen iPhone 2027 Feature 1

Report: Apple to Skip 'iPhone 19' Name for 'iPhone 20'

Thursday October 23, 2025 4:28 am PDT by
Apple's new iPhone lineup launched in the fall of 2027 will be called the "iPhone 20" models, rather than the "iPhone 19," according to research firm Omdia. Speaking at a conference in Seoul (via ETNews), Omdia Chief Researcher Heo Moo-yeol corroborated rumors that Apple plans to move the launch of its standard iPhone to the first half of the year and provided some additional clarity about...
maxresdefault

Apple's iPhone Air Experiment Fails as Supply Chain Cuts Production by 80%

Wednesday October 22, 2025 10:48 am PDT by
iPhone Air demand failed to meet Apple's expectations and the company's supply chain is scaling back shipments and production, reports Apple analyst Ming-Chi Kuo. Subscribe to the MacRumors YouTube channel for more videos. Suppliers are expected to reduce capacity by more than 80 percent between now and the first quarter of 2026, and some components with longer lead times will be discontinued ...
trump white house ballroom

Apple Donating to Trump's $350M White House Ballroom Project

Thursday October 23, 2025 3:55 pm PDT by
Apple is one of several tech companies that will contribute to the construction of U.S. President Donald Trump's 90,000-square-foot ballroom, reports CNN. Construction began on the ballroom this week, and the White House's east wing was torn down. Trump claims that the ballroom will cost $350 million, and that it will be privately funded through donations. The cost has already increased $150 ...
apple wallet drivers license feature iPhone 15 pro

iPhone Driver's License Feature in Apple Wallet App Launches in Another U.S. State

Thursday October 23, 2025 7:44 am PDT by
In select U.S. states, residents can add their driver's license or state ID to the Wallet app on the iPhone and Apple Watch, providing a convenient and contactless way to display proof of identity or age at select airports and businesses, and in select apps. Starting today, the feature is available to residents of West Virginia. To set it up, open the Wallet app and tap on the plus sign in...

Top Rated Comments

Marbles1 Avatar
56 months ago
Good.

Apple are more than happy to follow the laws of countries like China, I'm sure they'll follow the laws of democratic nations too.
Score: 36 Votes (Like | Disagree)
400 Avatar
56 months ago
Problem here is No10. I couldn't trust them to tell me the sun is up. This will not be for anyones benefit apart from brexit flag waving. The two ministers quoted should set alarm bells ringing.
Score: 25 Votes (Like | Disagree)
Mac4Mat Avatar
56 months ago
The problem with these government interventions is that usually those involved don't have the foggiest idea of technology and they are more used to pushing bits of paper, hence UK governments have failed repeatedly in getting even basic across the board computer systems functioning.

So whilst restrictive practices are to be deplored, governments bringing in such censorship or rules should be held liable for any failures as a result of their own rules.

For example: if its thrown open to the world to produce whatever apps they like for Apple products, who pays to remove malware, who then complains if sensitive information has been leached from systems as a result of having no control over the content of applications.

Whilst Apple is not 100% successful in weeding out applications that pose a threat, its better than having no control over what is sold to consumers, from vendors and indeed sovereign backed nations whose motivation may have nothing to do with the application they are 'selling' or giving away, but more interested in harvesting data etc.

Its Apple's operating systems, and no one knows better any threats posed to it than Apple, and even then assistance from independent sources aids in culling applications that may be a risk.

With no controls at all, it would absolve Apple of any responsibility to bother with virus protection, malware protection etc. etc.

Far better for these governments to concentrate on consumer issues of a more substantive nature, and not necessarily right to repair, but more importantly PROPER WARRANTIES of 5 years for items over a certain price.

The idea that you can buy a new computer and one year and a day you've lost your investment is crazy. Same with white goods. You shouldn't have to buy extended warranties, the goods should be warranted to last much more than 1 year, as then right to repair is less likely to even be a problem
Score: 24 Votes (Like | Disagree)
ruka.snow Avatar
56 months ago
So as a developer and a consumer, the English government wants to take away my choice of selling and buying to a platform where everything is safe, user friendly, and unified. And like most things like this, we can only complain if the rules aren't being followed, we can't complain if we want the new rules to bugger off.
Score: 20 Votes (Like | Disagree)
Roadster Lewis Avatar
56 months ago
I like Apple kit precisely because it is locked down - I like to think I am savvy enough not to install compromised software on my devices, but not so sure about less technically minded users.

There is a choice - if you want freedom to side load etc, buy an Android device...
Score: 19 Votes (Like | Disagree)
Frustratedperson Avatar
56 months ago
And that’s when I will leave the Apple ecosystem and just spend less on Android. 99% off the reason that I go with Apple is for their view on privacy and malware etc. If it’s opened up then there are just as well made phones from the likes of Samsung, Google etc.
Score: 17 Votes (Like | Disagree)