- Microsoft argues that Apple’s App Store guidelines still prevent it from offering a native Xbox Cloud Gaming app on iOS, specifically citing restrictions related to in-app purchases (IAPs) and the 30% commission Apple charges.
- The CMA (UK’s Competition and Markets Authority) is investigating the market for mobile browsers and cloud gaming services, considering potential remedies including allowing cloud gaming apps to operate “read-only” without IAPs or requiring Apple to allow alternative payment systems.
- Apple argues it supports cloud gaming through web apps and points to its efforts to help developers like Antstream launch their services on the App Store. Apple also argues that developers haven’t experienced significant issues with the IAP requirement.
The battle for control over cloud gaming on iOS continues to heat up, with Microsoft and Apple locked in a public dispute over Apple’s App Store guidelines. While Apple made changes earlier this year to allow game streaming services like Xbox Cloud Gaming and GeForce Now, Microsoft argues that these modifications are insufficient and prevent it from offering a truly native Xbox Cloud Gaming app on iOS.
Microsoft points to several specific App Store guidelines that it claims restrict its ability to operate a native cloud gaming app, highlighting Apple’s requirement for multiplatform services to make all content and features available as in-app purchases (IAPs). This, Microsoft argues, would lead to an unsustainable business model due to Apple’s 30% commission on IAPs. Additionally, Microsoft claims the IAP requirement would necessitate extensive recoding for third-party games, making it a non-starter.
Apple, in its response, maintains that it supports cloud gaming through web apps and emphasizes its efforts to assist developers, citing the successful launch of the Antstream app in the App Store. Apple argues that developers are not facing significant issues with the IAP requirement and points to its outreach to Microsoft regarding cloud gaming possibilities.
The UK’s Competition and Markets Authority (CMA) is currently investigating the market for mobile browsers, browser engines, and the distribution of cloud gaming services through app stores. The CMA is considering various potential remedies, including requiring Apple to allow cloud gaming apps to operate on a “read-only” basis, enabling alternative in-app payment systems, and amending Apple’s guidelines to remove technical restrictions.
This ongoing dispute highlights the broader complexities surrounding app store regulations and the power dynamics within the mobile ecosystem. It will be interesting to see how the CMA’s investigation unfolds and whether the current stalemate between Microsoft and Apple can be resolved.
What you should know
The CMA Arena isn’t a physical arena filled with roaring crowds and sporting events, but a metaphorical one where companies and regulators clash over competition and fair practices. It refers to the UK’s Competition and Markets Authority (CMA), a powerful watchdog responsible for ensuring fair competition within the UK’s markets.
Think of the CMA Arena as a court where companies can be called to defend their actions, with the CMA acting as the judge, assessing their practices against competition laws. The CMA investigates companies, analyzes markets, and ultimately aims to protect consumers from anti-competitive behavior.
It’s a crucial part of the UK’s economic landscape, ensuring a level playing field for businesses and protecting consumers from unfair practices. The “arena” represents the dynamic and often contentious world of competition law, where companies and regulators engage in a constant dialogue to shape the market and ensure fair play.
