Apple Critiques UK Watchdog’s Mobile Browser Investigation as ‘Flawed’

Apple has expressed concerns to the United Kingdom’s competition regulator about what it deems a «flawed and insufficient» investigation into its position in the mobile browser sector, warning that it could negatively affect both consumers and developers.

The tech giant criticized the Competition and Markets Authority (CMA) for relying on outdated data and «unsubstantiated assertions» from developers instead of objective evidence during its review.

The CMA’s inquiry focuses on mobile browser supply, browser engines, and the provision of cloud gaming services through app stores on mobile devices in the UK.

In the UK, Apple and Google dominate the mobile operating system market with their respective iOS and Android platforms.

Safari, developed by Apple, and Chrome, by Google, are recognized as the primary browsers used on mobile devices.

Notably, all browsers available on iOS must utilize the Apple WebKit browser engine.

In a June update regarding its competition investigation, the CMA reported a «lack of competitive pressure» might reduce Apple’s motivation to enhance WebKit.

It further noted that the restriction imposed by WebKit means that browser developers are «less able» to introduce features and enhancements in their iOS browsers compared to platforms with fewer restrictions, such as Android or desktop systems.

Evidence gathered by the CMA suggests that browser vendors incur additional costs due to the need to create and maintain a version of their browser based on WebKit.

Responding to the CMA’s findings in a document released on Tuesday, Apple defended the WebKit restriction as essential for ensuring the security, privacy, and functionality of iOS devices.

Apple emphasized that approximately 80% of its revenue comes from device sales, indicating that «poor user experiences would be fatal to the core of its business.»

According to Apple, the CMA’s ongoing inquiry heavily depends on outdated information collected over two years ago.

Apple accused the CMA’s preliminary conclusions of being based largely on unverified claims from a select group of developers rather than on factual evidence, repeating these unsubstantiated assertions without adequate qualification.

The company also stated it was not afforded the chance to address certain claims within the CMA’s report, raising concerns that the CMA’s analysis is not sufficiently impartial or objective.

Apple criticized the CMA for failing to distinguish between features of Safari and WebKit that are pertinent to browser functions.

In its conclusion, Apple described the CMA’s examination of the mobile browsing landscape as fundamentally «flawed and insufficient,» warning that the regulator may produce conclusions and remedies that could adversely affect consumers, developers, and overall market competition.

The CMA initiated a comprehensive investigation into the market control held by Apple and Google over mobile browsers in 2022.

The investigation faced a temporary halt last year after Apple appealed, contending that the CMA lacked jurisdiction to begin its inquiry at such a late date and should have opened it in June 2022, in response to a report on mobile ecosystems that identified an «effective duopoly» held by Apple and Google.

While the Competition Appeal Tribunal (CAT) initially sided with Apple, a London Court of Appeal later overturned that decision in November.

Judge Nicholas Green stated in his November ruling that the CAT had «lost sight» of the CMA’s duty to «promote competition and protect consumers.»

He cautioned that there could be «serious consequences» for the CMA if the CAT’s interpretation of the regulator’s powers proved accurate.

A spokesperson for the CMA clarified that its working papers are not final analyses or decisions. Rather, they represent a snapshot of the CMA’s ongoing analysis at a specific time and serve to invite feedback. The CMA strives to consider all evidence received during its investigation transparently and objectively, including responses to working papers.