New EU Law Could Force Apple to Allow Other App Stores, Sideloading, and iMessage Interoperability

New EU rules came into force today that could force Apple to let users access third-party app stores and permit app side loading on iPhones and iPads, among other changes designed to make the digital sector fair and more competitive.

Tech giants that meet the "gatekeeper" criteria will be forced to open up their services and platforms to other companies and developers.

Apple is almost certain to be classified as agatekeeper due to the size of its annual turnover in the EU, its ownership and operation of platforms with a large number of active users, and its entrenched and durable position.

Apple could be forced to make changes to the way it works in Europe. It could be required to allow users to install third-party app stores and sideload apps, give developers the ability to promote their offers outside the App Store and use third-party payment systems, and access data gathered by Apple.

Interoperability is one of the requirements to make messaging, voice-calling, and video-calling services work together. Apple would be forced to comply within the EU if the interoperability rules are true.

The European Commission proposed the DMA in December 2020 and it was agreed by the European Parliament and the Council in March of the following year. The implementation phase starts on May 2, 2023 and will last six months. If they meet the thresholds established by the DMA, the Commission will have to inform them of their core platform services.

Once the Commission has received the complete information, it will have 45 working days to make an assessment as to whether the company in question meets the thresholds and to designate them as gatekeepers. Following their designation, gatekeepers will have six months to comply with the requirements in the DMA, at the latest by March 6, 2024.

"The DMA will change the digital landscape profoundly," said executive vice-president Margrethe Vestager in a statement accompanying a Commission press release. "With it, the EU is taking a pro-active approach to ensuring fair, transparent and contestable digital markets. A small number of large companies hold significant market power in their hands. Gatekeepers enjoying an entrenched position in digital markets will have to show that they are competing fairly. We invite all potential gatekeepers, their competitors or consumer organizations, to come and talk to us about how to best implement the DMA."

Changes to its platforms will have to be made if Apple is designated a gatekeeper. Apple was concerned that some provisions of the law would create unneeded privacy and security vulnerabilities for its users.

Major changes to the tech industry are being proposed by the U.S. House as a result of antitrust legislation.

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