Danish Kapoor
Danish Kapoor

Competition Authority examined Apple's App Store policies

The Competition Authority announced that it has initiated the “Mobile Ecosystems Sector Review” in order to understand the structure and functioning of the sector about mobile smart devices and software for these devices. In this context, Apple's contracts with application developers and the “Application Review Directive” were examined. Doubts have been raised about Apple's payment system restrictions on app developers in the App Store.

It is stated that developers are prevented from informing users about payment channels outside the application. Due to this ban, consumers not being aware of the existence of alternative payment channels and not being able to see the difference between in-app prices and non-app prices are among the important issues that need to be examined. It is also being investigated whether consumers' ability to access lower prices is restricted.

Apple requiring its own payment system

In the Competition Authority's announcement, it is stated that Apple does not allow links to alternative payment channels outside the application. It is questioned whether Apple, by requiring its own payment system with this policy, eliminates the freedom of choice of application developers. At the same time, whether other payment systems are prevented from entering the Apple ecosystem is also under scrutiny.

Apple's requirement for its own payment system for in-app purchases requires that transactions for in-app digital content sales be made only through Apple's payment system. This is considered a major restriction as it does not allow developers to use other payment systems. The Competition Authority plans to investigate to what extent these restrictions hinder competition.

Competition Authority, Apple Inc. and Apple Technology and Sales Limited Company announced that it initiated an investigation. It will be examined whether Apple's closure of alternative payment systems in the App Store and its application of anti-referral provisions to application developers violates Article 6 of the Law on the Protection of Competition. In this process, it will also be evaluated whether Apple is abusing its dominance in the industry.

The investigation conducted by the Competition Authority examines Apple's restrictions on application developers in detail. In particular, the inability of developers to use alternative payment systems and their dependence on Apple's payment system is an important subject of investigation. It is evaluated to what extent this situation negatively affects competition in the market and how it limits users' choices.

Does Apple's mandatory in-app payment system prevent other payment systems from entering the market? This question has an important place in the Competition Authority's examination. The introduction of alternative payment systems could mean more options and better prices for both developers and users.

This investigation initiated by the Competition Authority is also of great importance in terms of protecting consumer rights. Consumers need to be able to find the best prices for in-app purchases and use alternative payment channels. The extent to which Apple's policies violate consumer rights will be determined in this process.

As a result, this investigation initiated by the Competition Authority about Apple is an important step to protect competition in the sector and consumer rights. The effects of Apple's policies on the market and the extent to which they limit competition will be revealed in this process. The developments are of great importance for both developers and users.

Danish Kapoor