A report from a UK antitrust body, the Competition and Markets Authority (CMA), has found that Apple and Google have such dominance over the mobile browser market that it is harming users who could be missing out on new features. With 88% of Apple users running Safari and 77% of Android users running Chrome, the situation is “not working well for consumers and businesses” and is “holding back innovation,” the CMA says, and it singles out Apple’s mobile browser policies for particular criticism.
Apple has previously been criticized for its restrictive policies around mobile browsers, as users can install browsers other than Apple’s Safari on their devices — but those browsers can only use Apple’s WebKit engine. That makes them essentially overlays for Apple’s own browser, limiting the features that can be supported on a mobile browser.
As for Google, the report criticized a revenue-sharing agreement between Google and Apple, in which Google pays Apple a chunk of its search revenue from users browsing on an iOS device. This agreement gives both companies a reason not to compete, the report says, which harms users.
The report does offer suggestions on improving the situation, such as forcing Apple to allow browser engines other than WebKit or banning the revenue-sharing agreement between Apple and Google. However, it doesn’t look like these suggestions will be put into action any time soon as the CMA is still undertaking a separate investigation into Apple and Google’s mobile dominance, which is expected to be completed later this year.
“Following our in-depth investigation, we have concluded that competition between different mobile browsers is not working well, and this is holding back innovation in the UK,” said Margot Daly, Chair of the CMA’s independent inquiry group.
“The analysis set out in our report and the range of potential interventions considered to address the market issues we have identified merits consideration by the CMA under its new powers, which have been specifically designed for digital markets. So, I welcome the CMA’s prompt action to open strategic market status investigations into both Apple and Google’s mobile ecosystems. The extensive analysis we’ve set out today will help that work as it progresses.”
