© Provided by Business Insider Tim Cook AP Photo/Richard Drew- Apple has maintained control over every corner of the iPhone ecosystem in the name of user security.
- Apple is preparing to comply with EU regulations by allowing sideloading of iOS apps, Bloomberg reports.
- This will test Apple's walled garden and show if it has always worked.
For 15 years, Apple has controlled every aspect of the iOS ecosystem, from the apps you can install on your iPhone and iPad, to the look of your home screen, to the payment systems you can use, and everything in between.
The company has always said that this so-called "walled garden" approach is necessary to help users have a good experience, protect against viruses and malware, and protect user privacy. Steve Jobs himself championed this strategy, and he allegedly had to be persuaded to bring the App Store to the iPhone.
But the European Union's new Digital Market Act forces Apple to give up its "monopoly" control over developers and iPhones by 2024. This win by European regulators is also the biggest hole in Apple's highly regulated ecosystem to date.
The new law targets Big Tech companies with highly regulated platforms that act as gatekeepers between businesses and consumers, including all app store providers, including Google. Apple is reportedly planning to comply with the new law, according to a new report from Bloomberg. Changes could be made soon after the iOS 17 update, which is scheduled to launch in September 2023.
This is a first for the iPhone maker, which has not always shown full compliance, even in countries where new laws have been passed to limit some of its power over the App Store. Regulators in the Netherlands and South Korea, for example, are at odds with Apple, which has so far made few changes to its operations in those countries.
If Apple now makes the changes detailed in Bloomberg's story, its closed-door approach could be put to the ultimate test as we see the real-world consequences of opening the door to the outside.
Share readable apps and app reviews
Downloading software or apps outside of the App Store, also called sideloading, is currently not possible unless the user tampers with the iPhone's core software to bypass Apple's restrictions.
Apple has long argued that allowing sideloading undermines the security of the iOS platform and exposes users to the worst elements of the web. Meanwhile, the company's critics argue that the security risks are minimal with more competition in the App Store and greater benefits for user choice. If sideloading is allowed, as Bloomberg reports, we'll see who's right.
Bloomberg reports that Apple also plans to support an alternative App Store, which will theoretically be filled with apps that the company hasn't necessarily vetted. This could solve the developer headache that is the App Store's review process, where the company checks all apps and updates before they reach customers.
Apple has a whole network of security, privacy and even content requirements that apps must meet to earn a coveted spot on the App Store. This process has been criticized for being inconsistent and can leave apps under review for weeks without much communication from Apple.
Allowing sideloading of apps would give developers a much more direct way to reach their customers through these external app stores, though Bloomberg also reports that the company is toying with the idea of reviewing apps offered outside of App Your store. , although the details of that plan are still unclear.
The developer's biggest problem can be solved
Sideloading will also address one of Apple's biggest sources of criticism; the so-called "apple tax".
Opening payment methods to third parties, as required by European law, will mark an important evolution for developers. The current deal requires developers to use Apple's internal payment processing services and gives Apple an automatic 30% discount on nearly all in-app purchases. Apple maintains its pricing structure as necessary and makes sense given the App Store's central role in the software economy.
For years, everyone from independent app developers to CEOs opposed this provision. This practice has recently attracted the attention of the new owner of Twitter, Elon Musk, who has declared war on the system.
"It's a very unique thing when someone who's also the richest person in the world has the same problem with a small app developer that has maybe one or two employees," said Rick Van Meter, chief operating officer. joins the Coalition for App Fairness, which often criticizes the so-called "Apple Tax".
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