The UK’s Competition and Markets Authority (CMA) has announced plans to impose new pro-competition measures on Apple and Google by proposing to designate them with ‘strategic market status’ (SMS) over their mobile ecosystems.
The move aims to address their dominance in the UK’s app economy and encourage a more dynamic and competitive digital market.
The CMA’s proposals come amid growing concern that Apple and Google exert excessive control over the UK’s mobile landscape, which accounts for 90–100% of devices nationwide. Their influence stretches across app store policies, payment systems, interoperability with connected devices, and the development of AI services.
A key focus is the UK app economy, which the CMA highlights as Europe’s largest by revenue and developer count. The sector contributes an estimated 1.5% to UK GDP and supports around 400,000 jobs. FinTech is a particular success story, having drawn in over £18bn in investment over the past three years. Mobile gaming also generates nearly £2bn annually, reflecting the scale of the opportunity at stake.
However, developers have voiced concerns about inconsistent app review processes, opaque app store rankings, and commission fees of up to 30% on in-app purchases. Restrictions on promoting alternative payment options and limited access to hardware features have also sparked warnings that such practices chill innovation and reduce consumer choice.
In response, the CMA has published draft roadmaps outlining potential remedies. These include allowing developers to steer users to external payment platforms, ensuring transparency in app reviews and rankings, and improving access to hardware functions such as digital wallets and wearables. Measures would also seek to guarantee genuine consumer choice and address structural barriers in emerging AI services like voice assistants.
CMA chief executive Sarah Cardell said: “Apple and Google’s mobile platforms are both critical to the UK economy – playing an important role in all our lives, from banking and shopping to entertainment and education. But our investigation so far has identified opportunities for more innovation and choice.”
Cardell added, “The targeted and proportionate actions we have set out today would enable UK app developers to remain at the forefront of global innovation while ensuring UK consumers receive a world-class experience. Time is of the essence: as competition agencies and courts globally take action in these markets, it’s essential the UK doesn’t fall behind.”
The CMA is now seeking feedback on its proposed designations and roadmaps. A final decision is expected by 22 October 2025.
Keep up with all the latest FinTech news here
Copyright © 2025 FinTech Global
