The UK Competition and Markets Authority (CMA) has proposed designating Apple and Google with 'strategic market status' to foster competition in their mobile platforms, with a final decision expected by October 22, 2025.

This move aims to address concerns over unpredictable app review processes, biased search rankings, and high commissions on in-app purchases, which can reach up to 30 percent.

The UK government has assured that these regulations will not breach existing trade agreements, even amid potential tensions with the Trump administration.

The Digital Markets Unit, responsible for regulating Big Tech, was established in 2021 but only gained authority in 2022, delaying investigations into market practices.

This regulatory effort is part of a broader global trend, with similar initiatives in the EU, US, South Korea, and Japan, aimed at curbing the dominance of large tech firms.

UK Prime Minister Keir Starmer has advocated for deregulation to boost investment and economic growth, adding pressure on regulators to balance competition and innovation.

Both Apple and Google are working to comply with these new rules, which could significantly impact their revenue from app store fees and advertising.

Google has yet to publicly respond to the UK's regulatory plans, while Apple has made some operational adjustments in the EU but has not fully satisfied regulators.

The UK's 'Strategic Market Status' is similar to the EU's 'gatekeeper' designation, but the UK is not targeting all firms like Amazon or Microsoft.

The regulatory framework aligns with the EU's Digital Markets Act (DMA), including prohibitions on self-preferencing and interoperability requirements.

Apple and Google are facing multiple regulatory challenges globally, including a €500 million fine on Apple in the EU for violating the DMA and ongoing investigations in the US.

The announcement coincides with trade discussions with the Trump administration, which has criticized the EU's DMA as a barrier to American companies.