UK CMA designates Apple and Google with Strategic Market Status (SMS)

The UK’s Competition and Markets Authority (CMA) has designated Apple and Google with Strategic Market Status (SMS) in key digital markets. The decision places both companies under expanded oversight around how they run app stores, handle payments and use data—broadly aligning with Europe’s push to rein in dominant platform “gatekeepers.”

What’s changing

• Closer scrutiny of core services: App store terms, in‑app payment rules, default settings (browsers/search), and data practices face tighter controls.
• Conduct requirements: The CMA can impose tailored conduct measures to curb self‑preferencing and ensure fair access for rivals.
• User choice & interoperability: Potential measures to make switching defaults easier, improve data portability, and open platform capabilities.

Why it matters

• Consumers: Could see more browser/app choice, alternative payment options and clearer consent for data use.
• Developers: May benefit from fairer distribution terms, alternative billing routes and more transparent review processes.
• Platforms: Apple and Google face new compliance obligations, audits, and possible changes to fees and product policies in the UK.

How it compares to the EU

The UK regime is separate but broadly similar in spirit to the EU’s Digital Markets Act (DMA), which designates “gatekeepers” and sets clear do‑and‑don’t rules (e.g., limits on self‑preferencing, requirements for interoperability). The CMA’s SMS framework lets the regulator tailor conduct requirements to specific UK market concerns.

What to watch next

• Detailed conduct rules: Expect consultations on UK‑specific obligations for app stores, browser engines, alternative payments and sideloading pathways.
• Timelines & appeals: Phased implementation and potential legal challenges could influence how fast changes reach users and developers.
• Market impact: Watch for adjustments to app store fees, developer policies, and default app choices on UK‑sold devices.

References:
UK Competition & Markets Authority (CMA) ·
Digital Markets, Competition and Consumers Act (UK) ·
EU Digital Markets Act (DMA)

Discussion: Will stronger UK oversight unlock more choice and lower costs for users and developers—or add compliance overhead with limited real‑world benefit?