UK Watchdog Says Apple and Google Maintain ‘Effective Duopoly’

Apple and Google, two of the world’s most influential tech companies, continue to dominate the digital ecosystem in the United Kingdom, drawing concern from the country’s top competition watchdog. According to the regulator, the tight grip these two firms hold over mobile operating systems, app stores, and web browsers significantly limits consumer choice and stifles innovation.

The UK’s Competition and Markets Authority (CMA) has been conducting a thorough investigation into the mobile technology industry. Their research indicates that Apple and Google’s control over essential digital infrastructure results in what can be described as a digital duopoly. Their influence is not limited to devices, as it also encompasses the key channels through which users and developers engage with the digital realm.

Mobile devices have become the primary means by which individuals access online content, services, and applications. In this space, Apple’s iOS and Google’s Android account for virtually all smartphone operating systems in the UK. While consumers technically have a choice between these two platforms, the CMA notes that switching between them can be inconvenient and costly due to incompatible ecosystems and the effort needed to transfer data or learn a new system.

Beyond the operating systems, the two companies additionally oversee their own app markets—Apple’s App Store and Google Play. These platforms serve as gatekeepers for developers, who are required to adhere to each company’s guidelines and revenue-sharing systems to access users. For consumers, this typically results in being confined to the applications and services that Apple and Google endorse and promote, with restricted exposure to independent options.

Additionally, each company bundles its proprietary web browsers—Safari for Apple and Chrome for Google—into their devices. Although other browsers can be downloaded, most users default to the pre-installed options. This default status gives Apple and Google a further competitive edge, reinforcing their control over how users experience the internet.

The CMA’s concerns revolve around how this level of market control restricts competition and innovation. Developers often face high fees—up to 30% in some cases—for distributing apps and offering in-app purchases. These fees can be prohibitive for smaller developers and startups, limiting their ability to compete or innovate.

From a consumer perspective, the regulator argues that limited competition leads to fewer choices, reduced functionality, and higher costs. For instance, alternative payment systems or app stores are difficult to implement or access on iPhones and Android devices. Consumers are therefore funneled into the ecosystems that Apple and Google design, with little room for alternatives to gain traction.

The CMA also notes that the dominance of the two tech giants reduces pressure to improve security, privacy, or product quality beyond what is necessary to maintain their market position. If consumers feel locked into a platform, they may be less likely to switch—even if another option offers better features or value.

The UK is not alone in scrutinizing the immense power held by Apple and Google. Similar concerns have been raised by regulators in the United States, European Union, and other regions. Antitrust investigations and legal battles are underway across several jurisdictions, many of which echo the CMA’s findings.

Nevertheless, the regulatory strategy in the UK has concentrated on creating a competition-friendly framework specifically designed for digital markets. Instead of depending entirely on current antitrust regulations, which can be sluggish and reactive, the CMA is suggesting more proactive measures to tackle imbalances before they negatively impact consumers and businesses.

One proposal includes the creation of a Digital Markets Unit (DMU) empowered to enforce a new code of conduct for dominant digital platforms. This could involve mandating greater interoperability between platforms, reducing fees for app developers, or requiring more transparency around how apps are ranked or recommended.

Apple and Google have responded to such regulatory pressures by defending their business models and arguing that their platforms offer strong security, privacy, and user experience. Apple, in particular, emphasizes its focus on safety and quality control in the App Store, while Google points to the flexibility and openness of the Android ecosystem.

Both companies also argue that their fees are standard across the industry and help fund continued investment in tools and resources for developers. They maintain that their dominance is not the result of anticompetitive behavior, but of offering superior products that consumers voluntarily choose.

However, detractors claim that these explanations ignore the intrinsic benefits of being standard providers and managing both the hardware and software aspects of the mobile experience. Despite the excellence of their products, the absence of feasible options indicates a requirement for regulatory supervision.

The CMA’s investigation is part of a broader effort to make the digital economy fairer, more open, and more competitive. With smartphones and digital services now embedded in daily life, the stakes are high. Ensuring that consumers have real choices—and that developers can reach audiences without prohibitive costs—requires more than market forces alone.

If authorities manage to reduce Apple’s and Google’s influence, it could lead to a more vibrant digital landscape in the UK. This change might allow for the emergence of new app marketplaces, web browsers, or payment solutions, providing users with options that cater more effectively to their preferences. Additionally, it could offer opportunities for smaller creators and startups to succeed, potentially disrupting the longstanding dominance of major tech firms.

Although any modifications to regulations are expected to encounter opposition and may require time to enforce, the trend is evident. Officials are indicating that digital markets should be controlled by regulations that promote competition, safeguard consumers, and ensure that innovation is not hindered by established dominance.

The CMA’s persistent initiatives illustrate an increasing acknowledgment that the online realm needs to be held to the same standards of accountability and competitiveness as the tangible one. As the UK progresses, its strategy might become a blueprint for addressing Big Tech in the current era—striking a balance between innovation and equity, as well as consumer advantages and corporate duty.