Apple to allow third-party app sellers on iPhones, bowing to regulatory pressure

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FILE – In this Tuesday, Sept. 10, 2013, file photo, Apple CEO Tim Cook speaks on stage before a new product introduction in Cupertino, Calif. Apple has reportedly repurchased $14 billion of its stock in the two weeks after its first-quarter financials and second-quarter revenue outlook disappointed investors. Its shares climbed in premarket trading Friday, Feb. 7, 2014. (AP Photo/Marcio Jose Sanchez)

Apple to allow third-party app sellers on iPhones, bowing to regulatory pressure

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Apple is moving toward allowing third-party sellers to sell apps on its devices in an effort to comply with European regulators and in anticipation of pressure from Congress.

Engineers at the company are in the process of adjusting key parts of the App Store interface in an effort to allow users to install apps from outside the App Store onto their iPhone, according to Bloomberg. The effort would allow Apple to continue operating without facing as much pressure from Congress and the European Union over the market power that Apple has over mobile devices.

The change is in response to the Digital Markets Act in the EU, which would require Apple to allow sideloading, or downloading apps through outlets other than the App Store, by 2024.

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Apple has historically opposed such endeavors, claiming that they would lead to scammers and malware on the platform. Apple engineers have also argued it is a distraction from improving other key features on Apple devices, such as developing the next iOS for iPhones.

In order to ensure product quality, Apple is considering requiring certain security elements in all apps. Apps would also need to be verified by Apple and pay a 15%-30% fee for approval, allowing Apple to maintain its high operational fees while offering third-party apps in the App Store.

Apple may also open up other key features on iOS devices for developers to access. For example, it could allow apps to have access to other sensors in the phone camera or the near-field communication chip, which allows the phone to communicate wirelessly with chip readers. These features were limited and could only be used by Apple-created apps.

It’s unclear if Apple will comply with parts of the EU’s rules that require it to allow users to sign up for product services without having to go through Apple.

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Apple’s prices caused a conflict two weeks ago when the Big Tech giant withdrew all its ads from Twitter. Elon Musk noticed the exorbitant prices for operating on the App Store and got into a feud with the company over it, calling them a “secret tax.” A few days later, Musk visited Apple CEO Tim Cook at Apple’s headquarters, where they appear to have resolved the issue.

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