Complying With the Digital Markets Act by introducing exclusivity rebates?

Abstract:Apple has opened the iOS environment for third-party app stores to comply with Article 6(4) of the Digital Markets Act (DMA), but third-party developers must comply with a novel system of fees and conditions to distribute their apps via these alternative channels. From an economic perspective, the new contractual requirements correspond to an exclusivity rebate that has the potential to protect Apple’s app store monopoly. Our analyses show that developers of free apps without in-app purchases, as well as most developers of paid apps or those with
in-app purchases, are incentivized to remain with Apple’s traditional fee scheme and distribute exclusively through Apple’s App Store. As a result, Apple’s new fee system is unlikely to comply with Article 6(4) DMA and might additionally infringe Article 102 of the Treaty on the Functioning of the European Union (TFEU)

Publication year:2025

Accessibility:Closed

Review status:Peer-reviewed