8 hours ago
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The European Commission (EC) found Apple in breach of the Digital Markets Act (DMA) over its anti-competitive App Store practices last month. One of the EC’s main gripes concerned Apple’s anti-steering policies, which prevented users from accessing alternative payment distribution channels.
While Apple is appealing the €500 million fine, users across the European Union have noticed that Apple is now placing warning signs next to some apps that offer third-party payment options outside the App Store.
One example is Instacar - a Hungarian app that shows vehicle data history. The app does not use Apple’s App Store for in-app payments and it now has a disclaimer bubble which informs users that “This app does not support the App Store’s private and secure payment system. It uses external purchases.” The message is accompanied by a red warning sign, which makes the app seem untrustworthy.
The disclaimer prompt links to a dedicated page where Apple explains the flaws of alternative payment systems. While some third-party payment systems may lack the security standards of the App Store, most of the big payment processors like Stripe, PayPal, and Square have proven to be just as reliable.
If anything, the new security prompt seems like a way for Apple to purposefully make apps that don’t use its payment processor look unsecure. It will be interesting to see what the EC has to say about this development.
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