Apple and Russia
August 19, 2020
We have learned that Apple is being accused of unfair practices in yet another country from AppleInsider’s write-up, “Russian Watchdog Says Apple’s App Store Rules and Behaviors Are Anticompetitive.” According to Reuters, the Federal Antimonopoly Service of Russia declares that the way Apple runs its online app store gives it unfair advantage. We note the agency’s leader once allegedly worked for the KGB; we suggest it is unwise to irritate such an individual. Writer Mike Peterson gives details of the allegations:
“The FAS’s ruling cites the need for users to download iOS apps from the official App Store, and claimed that Apple has ‘unlawfully reserved rights’ to block any third-party app from the marketplace. The watchdog also signaled that it would issue an order demanding that Apple resolve it alleged regulatory abuses. The FAS launched its investigation following a formal complaint by cybersecurity firm Kaspersky Lab. The company issued the complaint after Apple blocked its ‘Safe Kids’ parental control app from the App Store, citing child privacy and security concerns. At the time, Apple’s removal of those parental control apps prompted concerns that the company was quashing competition of its Screen Time feature. Apple responded, stating that the use of mobile device management (MDM) and other tools in the apps presented a security risk.”
Peterson reminds us Apple is also facing antitrust investigations in the US and Europe. The EU probe, we’re told, was launched in response to charges by Apple Music competitor Spotify.
Russia’s government options may include some strategists at Apple may under weight. Telegram, for example, found cooperation a more pragmatic way to deal with Russian authorities. Why? Perhaps it was first hand knowledge of certain bureaucratic features of the Russian government’s mechanisms?
Some companies want to function as if they were countries. Some countries find that approach untenable.
Cynthia Murrell, August 19, 2020
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