Europe’s Digital Market Act (DMA) will come into effect next year, and companies will have until 2024 to comply. Under the new rules, Big Tech must allow alternative app stores on their platforms to provide users with more choice. Apple is going to be complying with this new mandate and in iOS 17, iPhone and iPad users will be able to sideload in their own apps, in Europe. Apple has to do this, because violations of the Digital Markets Act could cost Apple fines worth up to 20% of its annual worldwide revenue. That’s about $80 billion based on its fiscal 2022 sales.
It’s a major turnabout for Apple, which spent years lobbying against sideloading. It argued that bypassing its App Store in this way would bring privacy and security problems. And, of course, Apple will be taking a hit to its App Store revenue, which comes from the 15%-to-30% commissions it changes on apps, subscriptions and in-app purchases.
I have a feeling that this whole situation will be a boon to audiobook and ebook retailers. They will be able to offer their own ebook purchases and paid subscriptions, without paying the Apple tax. Amazon Kindle would be the most likely company to take advantage of sideloading. Since, they could sell books, audiobooks and comics, without having to pay Apple a percentage of each transaction. This might open the doors for other European startups, to offer their own apps to sell reading content, including print books.
Michael Kozlowski is the editor-in-chief at Good e-Reader and has written about audiobooks and e-readers for the past fifteen years. Newspapers and websites such as the CBC, CNET, Engadget, Huffington Post and the New York Times have picked up his articles. He Lives in Vancouver, British Columbia, Canada.