A new bill introduced in the U.S. Congress seeks to reshape the mobile app ecosystem by promoting competition and consumer choice.
On May 6, 2025, Representative Kat Cammack (R-FL) introduced the App Store Freedom Act, targeting large app store operators like Apple and Google. The proposed legislation mandates several key changes:
- Third-Party App Stores: Companies with over 100 million U.S. users must allow the installation of third-party app stores and permit users to set them as default.
- Equal Access for Developers: Developers should be granted equal and cost-free access to interfaces, features, and tools.
- User Control: Users must have the ability to remove or hide pre-installed applications.
- Alternative Payment Options: The bill seeks to curb restrictive payment policies by allowing third-party payment options within apps.
Non-compliance could result in penalties enforced by the Federal Trade Commission, including civil fines of up to $1 million per violation.
This legislation mirrors recent European Union regulations that have compelled Apple and Google to make significant changes, such as enabling third-party store downloads and non-default payment options.
Representative Cammack emphasized that monopolistic practices by dominant app stores have led to higher prices, reduced consumer choice, and suppressed innovation.
Implications for Developers and Consumers
If enacted, the App Store Freedom Act could:
- Enhance Competition: By allowing alternative app stores, developers may find more favorable terms and consumers could benefit from diverse app sources.
- Reduce Costs: Alternative payment options might lower transaction fees, potentially leading to reduced prices for consumers.
- Increase Innovation: With fewer restrictions, developers might experiment more freely, leading to innovative apps and services.
Conclusion
The App Store Freedom Act represents a significant step toward democratizing the mobile app marketplace in the U.S. By challenging the dominance of major app store operators, it aims to foster a more competitive and consumer-friendly environment.
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