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The EU has always been the vanguard in sanctioning Apple, from the initial charging interface issue to the latest third-party APP Store. Although Apple strongly opposed it, it ultimately failed. Not only has the interface been replaced with a USB Type-C interface, but it will also be available for third-party APP Store downloads in the EU next year.
Apple’s latest financial documents show that the company expects to be forced to allow third-party App Stores across Europe starting in 2024.
After the Digital Markets Act was passed into law, the EU had previously told Apple that it must open its App Store to competitors. Apple had tried to fight the ruling but now expects changes to the App Store to be inevitable. Apple said in its Form 10-K: “The company expects to make further business changes in the future, including as a result of legislative initiatives affecting the App Store, such as the EU Digital Markets Act, with which the company must comply by March 2024. ."
"Future changes may also affect how companies charge developers for access to their platforms, how they manage app distribution outside of the App Store," Apple continued, "and how and to what extent it does so. Allow developers to communicate with consumers within the App Store about alternative purchase mechanisms.” . Apple said that if the commission Apple receives from App Store sales decreases, the company's business, results of operations and financial condition could be materially and adversely affected.
Apple has not commented since this filing. However, it has previously strenuously opposed allowing third-party app stores and so-called app sideloading.
Morgan Stanley analysts believe the new wording in the 10-K form confirms the fact that third-party access is coming. Analysts say Apple may open a third-party app store on devices in Europe. The agency continued: "We believe that if these changes occur, Apple will be well-positioned because the security, centralization and convenience of the App Store weaken the possibility of potential users using third-party app stores.
Due to EU laws, it is almost a foregone conclusion that Apple will develop a third-party APP Store. If the EU opens it, other regions will probably open it one after another. After that, we may experience third-party software on Apple.
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