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Australia wants apps to tell you how to avoid paying​ Apple and Google

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The Australian competition authority found Apple and Google have "significant market power in the distribution of mobile apps" in the country.

Image: Apple

The Australian competition authority found Apple and Google "have significant market power" over app distribution in the country and urged that consumers be made aware when they can avoid transactions that don't give the tech giants a cut.

Both companies demand a 30% portion of many transactions in the apps on their platforms and restrict developers from telling consumers that they could get their goods and services more cheaply elsewhere, perhaps through a direct web purchase. The practice has prompted several apps to complain and allege anticompetitive behavior, particularly when Apple and Google offer rival services.

Australian Competition & Consumer Commission Chair Rod Sims said in a statement accompanying the report that the body is "concerned with restrictions imposed by Apple and Google which mean developers have no choice but to use Apple and Google's own payment systems for any in-app purchases."

The ACCC also said consumers should be able to remove default apps, which are often in-house products from Apple and Google, and that the two companies should keep information they collect on third-party apps from influencing other operations. It said the companies should do more to combat "subscription traps and other scams."

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