Microsoft Criticizes Apple’s New App Store Policies as ‘a Step in the Wrong Direction’


Apple recently announced its intention to introduce sideloading on iPhones with the upcoming iOS 17.4 update, in compliance with the EU’s Digital Markets Act (DMA). However, the Cupertino company’s revised App Store policies have faced criticism from notable entities like Spotify and Epic Games. Adding to the dissent, Microsoft has expressed its concerns, labeling the App Store changes in the EU as “a step in the wrong direction.”

Initially reported in December, Microsoft is quietly developing an alternative app store for the iPhone. With a focus on mobile gaming, Microsoft’s mobile Xbox store aims to challenge the dominance of Apple and Google’s mobile gaming stores. The store is set to feature content from major players in the mobile gaming industry, including Activision Blizzard and King, the creators of Call of Duty: Mobile and Candy Crush Saga, respectively. Microsoft plans to launch the store later this year.

Apple’s updated App Store guidelines, which include support for alternative app stores, ostensibly paved the way for Microsoft to consider launching its game-centric app store on iOS. However, Sarah Bond, the president of Microsoft’s Xbox platform, appears less than enthusiastic about Apple’s announcements.

While Microsoft has expressed its concerns, it didn’t specify any details regarding the revised guidelines. However, it’s evident that Microsoft is reluctant to accept Apple’s Core Technology Fee, which imposes a charge of €0.50 for each annual app install.

This fee becomes applicable after 1 million downloads. Additionally, if app developers opt to incorporate third-party payment methods, Apple will also levy a 17% commission.

Microsoft’s response to Apple’s recent changes in its app store policies could suggest potential challenges for the development of an Xbox cloud gaming app for iOS. Apple’s announcement of new App Store policies last week included the opening of the App Store to game streaming apps for the first time, with this change being applicable globally, not just in the European Union.

As a result, Microsoft is expected to launch a dedicated Xbox Cloud gaming app on the App Store for iPhone and iPad. However, these developments may impact Microsoft’s broader mobile gaming strategy.

Thus far, neither Nvidia, Microsoft, nor other major cloud gaming providers have responded to Apple’s acceptance of cloud gaming services. It remains to be seen whether they will announce plans to release iOS apps for their services in the near future.


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