A Microsoft Corporation MSFT executive on Monday criticized the new App Store rules put forth by Apple Inc. AAPL for the EU, calling them " a step in the wrong direction," following similar disapproval from Spotify Technology SPOT CEO Daniel Ek and Epic Games CEO Tim Sweeney.
What Happened: Sarah Bond, Xbox president at Microsoft, took to X, formerly Twitter, and voiced the company’s concern regarding this new policy, urging Apple to consider feedback for a more inclusive plan. "Apple’s new policy is a step in the wrong direction."
Apple has introduced a "Core Technology Fee" for apps wishing to use third-party app stores in the EU. Developers using such platforms must pay €0.50 per annual app install after reaching the one million downloads milestone.
Apple will also maintain its 17% commission from developers choosing third-party payment processors.
Earlier, Microsoft Gaming CEO Phil Spencer referred to the EU’s Digital Markets Act as a " huge opportunity" for the company. Now Bond's response to Apple’s policy adjustments might pose challenges for the prospect of introducing an Xbox Cloud Gaming app on iOS, reported The Verge.
Apple last week allowed cloud gaming services into the App Store. In a blog post, the tech giant stated, “Developers can now submit a single app with the capability to stream all of the games offered in their catalog.”
See Also: Apple’s iMessage To Follow WhatsApp In Opening Up To Third-Party Chats Amid EU Push?
Why It Matters: The European Commission will respond to Apple’s changes when the regulations officially come into effect in March.
Previously, Sweeney criticized Apple’s overhaul of the App Store, referring to them as “hot garbage.” He further described Apple’s attempt to circumvent the Digital Markets Act in Europe as a cunning form of “Malicious Compliance,” the report noted.
Sweeney has been engaged in a protracted legal dispute with Apple over App Store policies and payment processing in the U.S.
In a parallel stance, Spotify’s CEO has accused Apple of engaging in “extortion” through the imposition of the new App Store tax. The music streaming platform has also urged EU regulators to intervene and address the situation.
Taking stock of these criticisms, the EU also threatened Apple with "strong action" over the App Store modifications.
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