Apple CEO Tim Cook will have to appear before the House Judiciary Committee next Monday as part of an ongoing antitrust investigation. Other tech giants are also in the crosshairs.
The biggest criticism of Apple continues to be its App Store policy. In preparation for the upcoming investigation, the company has conducted a study and published it in advance. Apple argues that the guidelines for the App Store are similar to those of its competitors. As CNBC reports, the study comes to the conclusion that the commission rates Apple charges in its App Store are similar to those of the Google Play Store, the Amazon Appstore, the Samsung Galaxy Store and the Microsoft Store. The study states: report:
The commission rates of digital marketplaces most similar to the App Store, such as other app stores and digital marketplaces for video games, are generally around 30%,” the study authors write.
Study records four important findings
The study goes on to say that Apple's policy of forcing developers to use the App Store payment system is more beneficial. In comparison, distribution through traditional retailers would still be more expensive - according to Apple. Overall, Apple's own study notes four important findings:
- Most app stores charge the same commission of 30% for digital goods.
- Retailers, travel booking services and other marketplaces may charge more than 30% for their services.
- Distributing software through an app store is more cost-effective than distributing it through brick-and-mortar retailers.
- Other app stores and digital marketplaces often require users to use their in-app payment mechanism and prohibit sellers from redirecting buyers to complete the transaction elsewhere.
In addition to the House Judiciary Committee, the European Union has also launched an antitrust investigation into Apple. It remains to be seen what conclusion both committees will reach. In addition to Tim Cook, Jeff Bezos from Amazon, Mark Zuckerberg from Facebook and Sindar Pichai from Google will also have to appear. Anyone who would like to see the study can find it on the Analysis Group website. (Photo by bigtunaonline / Bigstockphoto)