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Sigh. The EU has a larger population, but it is a significantly smaller market than the US. And Apple's smartphone market share in the EU is around 30%.

It depends on what you use as the base to define a market size. Smartphone penetration in EU is around 85%, US is 95%. 463 million vs 296 million … do the math. Apple market share is irrelevant to ascertain the size of the market.

There way more of family dept in relation to GDP in the US too. Meaning, less available income.

Now, that EU customers are harder to convince in terms of spending what they don’t have. Yes, for sure. Maybe that is why Apple does not get as much market share.

Sigh.
 
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Hmm, nah, not overall. The EU are doing a LOT for consumers, especially when it comes to recent tech laws.
I didn't say they weren't doing a lot for consumers, I said that if the choice is "create more competition, but make things worse for individual users" they will pick "create more competition". That may be, as @ProbablyDylan noted, because the EU thinks in the long term the competition will create more benefit than the "short term" pain, but you still have to acknowledge the short term pain. I'd argue there is a lot of long-term pain the EU experiences too, but some of that is hard to track because you can't see the innovation that doesn't happen in Europe because of your overburdensome regulations.

Sure, people come first is a terrible thing.😏
Again, didn't say "people come first" was a bad thing. I said I don't think the EU puts people first.

Maybe another way to put it is EU regulations like the DMA are not pro consumer, but rather anti big-businesses. Often (maybe even most) times that means they are pro-consumer, but sometimes, that means consumers end up with a worse product. See here and here, just to pick two examples that don't involve you not getting Apple Intelligence or newest Meta's Llama model in a timely manner.

Again, I wish Apple would have opened up the App Store and allowed side loading years ago, on their own accord. And, if Android didn't exist I'd be singing a different tune about the need for government intervention. But it does exist, does everything the EU says it wants, and has a MASSIVE marketshare advantage over iOS. So I think there is already plenty of competition and don't think the EU should be getting itself involved, especially when it's just going to lead to the EU getting even further behind technologically vs. the rest of the world.

But, lucky for you, the EU doesn't care what I think. Hopefully I am wrong about the negative ramifications - I am usually a big fan of the EU and as I mentioned, have deep ties to the continent.
 
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It depends on what you use as the base to define a market size. Smartphone penetration in EU is around 85%, US is 95%. 463 million vs 296 million … do the math. Apple market share is irrelevant to ascertain the size of the market.

There way more of family dept in relation to GDP in the US too. Meaning, less available income.

Now, that EU customers are harder to convince in terms of spending what they don’t have. Yes, for sure. Maybe that is why Apple does not get as much market share.

Sigh.
I was referring to the size of the overall consumer market. Not the smartphone market. Not the population.
 
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I was referring to the size of the overall consumer market. Not the smartphone market. Not the population.

I understand. There is indeed way more spending in the US than anywhere else in the world.

As I've said, its that consumers in the US are more permeable to spending, hence more dept.

I think you may be right. Apple can dismiss entirely the EU market and focus China, India … you know … the BRICS. US Money seams to be flowing that direction for some time anyway.

PS: I got confused when you mentioned Population and smartphone market share. I think device market share is based on units sold, not spending.
 
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I think you may be right. Apple can dismiss entirely the EU market and focus Chin, India … you know … the Brics.
I never said or implied anything of the sort. I simply corrected another poster who claimed the EU was a bigger market that the US and Canada combined.

PS: I got confused when you mentioned Population and smartphone market share. I think device market share is based on units sold, not spending.
Correct.
 
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I think you may be confused about what a market is. There is a difference between a market and a shop/store.
No confusion. A market is malleable. Can be anything you want. For example the store Costco is part of a market of wholesale warehouses.
A market implies that there are multiple sellers (multiple shops if you will) and buyers.
It implies a product can be purchase from multiple vendors.
A shop on the other hand is one seller, multiple buyers. Now a shop may in both instances have one or more suppliers.
Sure - I see where you are taking this.
The App Store only has one seller, Apple, its one Shop. The rest are either suppliers or buyers. There is no market going on here. This can be easily verified by looking at the invoices people receive when they click buy In App or on the App Store.
The iOS App Store is part of a larger market of app stores where the product can be purchased from multiple vendors.
The idea of a, iOS app market its an illusion created around a very clever story line,
Only those who support the DMA seemingly.
also invented by Apple paired with the amount of suppliers.
There are many suppliers in the app market.
Now like any illusion it has material consequences. Some of them may be beneficial for some others aren't for some ...
The illusion is clubbing together everything to make it appear there is no market. Only two shops.
Have not read it. I think I missed it. Can you share a link to the post where you have explained it?



Well, the DMA as far as I understand it is requiring that prominent internet connected devices and operating systems to actually facilitate a digital market along, continuing all the technological work done on Internet for such purposes.
Exactly the DMA is playing Robin Hood with apples property.
A place anyone can legally sell their goods to their customers. A place where everyone can choose their suppliers for digital goods and whatnot, regardless of their internet connected device of choice (prominent, not niche). Single shops built on the back of prominent internet connected device will simply not be allowed.
It all depends on the definitions. If you want a nirvana marketplace, then build one an see how it really goes. don’t force apple to give away it’s IP to facilitate some ideal which may not be beneficial in the overall scheme of things.
Until prominent devices / OS do this, and steering measures to their own Shop are shown not to be in place, OEMs and what to will face regulators prosecutions, fines, etc etc.
Maybe, some place, maybe not all.
Everyone is focusing on supporting other App Stores inline with Apple. It is not the case. Say you make an App. The regulation gives you to right open a store for your App, distribute and sell, regardless of the device people use, or the technology used to build it. Furthermore, sell whatever through your App. If you want to use a third party shop, say Apple App Store or any other, you can. The regulation protects that right.
It also gives you the right to skip paying apple anything, include malware in the app, scamware etc. That is why the EU is playing Robin Hood.
The customer has a choices to be made, whether you are customer buying an Apps (buy what to whom), or a customer developing software using a prominent device API (a choice on how to market and their your products). Prominent internet connected devices should promote the continuity of the open market place fostered by Internet and Governments, case in case the EU governments.
As a consumer if I don’t like my choices I move on the to next choice. I on’t petition the government to force the business to change its choices for me. Maybe I should, it seems to be a great strategy.
EU regulators mistake in my opinion is that they letting other drag them into also regulate Apple App Store kinds of stores, a single Shop for a single device ... which is irrelevant. They are getting distracted with this. They should forget this, they will only get their feet full of cr...

They should stop and think rather than going after every single complaint or Apple counter measures, instead think of the market has a whole. Effective regulations for internet shops already exist and are sufficient.

They should instead focus on regulating internet connected devices operation in the EU marketplace in this context. In particular, requiring OEMs to decouple their prominent internet connected devices from any shop regardless of shop owner, and check for attempts of steering, that is all there is to it. Some prominent devices and OS already do this, others still don't this ... oh and others although already doing this, following the lead of you know whom, seam to be trying drift away from doing this ... ;)
Steering is in the eyes of the beholder. Does Costco steer me when I enter an it promotes it’s own brand before other name brand items?
So how iOS effectively support what is known as a market is akin to Apple giving away its IP? I honestly don't understand your explanation. It looks more like a statement after a statement, rather than an explanation.

Check for instance Amazon.COM.

Amazon.COM is both a shop and a market place. Some goods found on it are sold by Amazon, other goods are sold by other sellers.
Amazon steers you toward their amazon basics merchandise, which is actually pretty good.
This can be clearly established by looking at the invoices. Furthermore, if a good listed in Amazon.COM, yet is facilitated and sold outside Amazon.COM, no fees are required.
Somebody pays fees, like the seller to Amazon. but it’s well known that the iOS App Store does not charge fees for physical items.
It may happen that the user found the good first on Amazon.COM but found a better deal elsewhere (there is why Price Comparators exist, some of them point to Amazon ... )
While the websites for 3d party products are on Amazon, they aren’t cheaper from what I can tell and what I’ve tried in the past. Maybe some collusion involved there.
. Furthermore, if Amazon.COM happens to sell a third party device or software, say an iPhone, and the user buys other goods through such device, it does not require a fee, even if it using AWS. Unless of course Amazon.COM is used in such device. This unlike Apple App Store policies ... after buying the device/app ... whatever is sold through that device/app (In App sale) is also charged a fee.
Not sure of what you are saying. Vendors can advertise on amazon and then steer customers to their own website for free? They pay Amazon $0?
Amazon also has another business. AWS. AWS is a platform to build and serve software applications. Amazon charges developers its use independently of Amazon.COM. Unlike iOS platform and App Store, amaon.COM and AWS policies are entirely unrelated.
What’s the point. Companies can have multiple business lines?
Is Amazon giving up any of its IP for free?
We’ll maybe.
If it is, shareholder should tell them, it's inadmissible, bad management. It seams that Amazon in this context has no IP problems.
The EU doesn’t care about shareholders.
Every big company in the world has some legal issue going on somewhere.
It depends on what is a big marketshare for you. I would say a OEM supplier an internet connected device with 18% of market share ... world wide ... is a pretty large marketshare.
I would say it’s a minority market share.
This is of course an average, some regions are way over 50% market share, others may be bellow 4%.

But that is not so much the issue here.

You see, Verizon has 37% marketshare in the US yet does not charge Apple a fee for their devices ability to connect to their network.
In the US for cell phone service both the source a target pay, while traditional landlines only the source pays. Different rules there, can’t say everything is not the way apple does business.
Vodafone for instance, as 20% and 30% in the Germany, same thing.

Not that they wouldn't mind doing so, is not if they did not invented the Verizon Network or the Vodafone Network …. In fact, especially in the US they have been campaigning hard for regulations to be drop so they could do this … but damn regulations and regulators … they know nothing. Maybe with Trump they will be able to achieve their intents.



Absolutely. The DMA does not affect at all such a premise. It just making sure that prominent Internet connected devices actually foster a market on the back of the Internet ecosystem. Continuing the work for which such ecosystem was built for.
there is a difference between prominent, influential an being accused of being a monopolist, anticompetitive, tax cheat and so on.
Now you seam to be applying a different logic here. Because people buy a specific smartphone, case in case, they are voting for the companies practices as a whole.
No people could be buying the best of the worst as opposed to voting for the best.
Including policies that don’t affect them specifically. That is silly mate. Most people just focus on the product they just bought, if it works well etc etc. Consumers aren’t required to be activists, thank the lord for that.

For instance:

- just now you thought that Apple has created a market.
Well I think they legitimized the App Store market concept. But app stores have been around for decades. It’s that they evolved with the times.
Well it has not. It created an internet connected device and put a Store or its back. Most Apple Ads, market the devices well rounded user experience and its ability to run Apps and access the Internet. That is why people buy it , and will keep on buying.
- Some people, may think that they have customers under such regime. Well they do not. They are simply suppliers of a single shop,
The are one shop like Costco that is part of a broader market.
the App Store. The customers aren’t theirs. Some learned that the hard way and expanded to other platforms were they could sell themselves, getting some claw … the ones that didn’t, some very successful, vanished to the oblivion.
Others, simply still do not know that and don't care as far as they feel nice because bought a car and house , employed some people, ... they will worry when they face the fact that the IP in practice is not theirs
- Some people may think that the App Store just sells Apps they don't.
Not sure where that line of thinking comes from. People know the App Store (like a website) provides a service. People are getting apps for the service they provide. If the service is games, and IAP then there is a commission due apple.
They sell of books, videos, dating arrangements, video conferences, tutoring lessons, you name it ... al on the back of third party IP.
And on the back of apple ip.
What they do not sell is down to the simple fact they do not want to sell. The infrastructure, policies and agreements is there to sell whatever ... all they need to enforce is the use of some OS API. If policies aren't there yet, well these can always be unilaterally change at any time. For instance, recently they required each game stream to be published and charged independently, and be subject to their approval ... compare that with Apple Arcade mate. They don't charge for Uber rides, but they could, everything is there at the distance some new lines in the policy.
You can agree or disagree with the App Store rules and regulations.
Since inception has been the source of several lawsuits regarding its practices. Simply because, some businesses were caught of guard given the perception fostered by the company.
So people didn’t actually know how the darn thing operated? It’s like signing a contract without reading it.
The only ones who haven't reached the wall, are the ones that don't think that have much IP to protect.
Nonesense.
The name itself, App Store, conveys an illusion, not reality.
No, it’s exactly what the name implies. With millions of apps, it’s not an illusion. The only illusion is some of the thinking around this.
Have fun.

PS: Talking about what a market actually is. The EU is a market so big that hosts markets.
If we are going in that direction the world market is staggering. Going back to the beginning one could define a market as anything. Such as the North American market.
It has been there before iOS/IPhones and Apple App Store came to town. The digital market has whole has been before these things were thought.
I agree the concept of a digital market has been around for decades. Apple legitimized it.
Heck, the software market has been before. The Internet ecosystem has been before. No one is forcing Apple to be or produce things for this.
No one is forcing anybody to sign up with, pay for, interact with or use anything an everything apple either.
Not taking merit out of Apple innovations. But I do think you maybe taking far greater achievements for granted
I think many hear have way too much bias.
you maybe too easily inclined to let be siphoned for by a smartphone and then maybe a laptop, and than maybe some glasses … who knows. Achievements that touch lives in way more profound ways. You know, the difference between Ambulances and its tripulants, saving lives every second of the day, and the occasional achievement of the Apple Watch alerts. You may take this for granted as the air you breathe, but be careful, without it … Perceptions, perceptions.
All of that has nothing to do with the premise of this thread.
As always, thanks for the interesting thoughts.
 
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Pain? For the consumer? How mild is this pain you speak of?
Depends on what the customer cares about - the EU is not, at least to start, getting Apple Intelligence and a couple of other features in the latest iOS. Meta isn't introducing the latest version of Llama in the EU, meaning EU users and companies can't take advantage of those products. I'd say that's mild pain right now, could be major pain later, depending on how things evolve with AI and Apple/Meta's ability to negotiate with the EU on what is and is not required.

As I linked to in the post, EU consumers are complaining about how Google is now worse because of the DMA in one case, and how the DMA is causing European hotels to lose significant business in another case. If you have a couple of extra clicks to get to Google Maps, I'd say that's minor pain. If you're a hotel whose direct bookings have gone down 36%, I'd say that's moderate to major pain.

These are speculative, but:
  • Say you're an unsophisticated user who chooses an alternate default browser that destroys your battery life without realizing that's why your battery dies all the time - minor pain for end user, but COMPETITION WINS.
  • Say you sign up for a subscription for an app in an alternate App Store and they make it incredibly difficult to cancel - minor to major pain, depending on cost. THAT'S ANNOYING, BUT SPOTIFY SHOULDN'T HAVE TO PAY TO LICENSE APPLE'S IP
  • Say Epic opens a Fortnight store and your kid uses your debit card to buy $3,000 worth of fortnight skins and Epic doesn't reimburse you the way Apple would - that would be major pain. SORRY, BUT I WANTED TO PLAY FORTNIGHT AND NOT BUY AN ICKY ANDROID PHONE
  • Say your 80 year old father gets tricked into downloading a scam app from a sketchy website and gives it all his banking info - major pain. THAT SUCKS FOR YOUR DAD, BUT I CAN INSTALL PORN APPS ON MY IPHONE NOW - PRICE OF COMPETITION
People forget or weren't around to remember how the App Store made normal consumers feel safe buying apps again. If that feeling of safety goes away, it's worse for users AND small developers AND competition.

I think MG Siegler summed it up pretty well:
The EU's stance, of course, is that the DMA actually will make all products better in the long run because there will be more competition. That may very well be true on the fringes – retro game emulators being one key example so far – but overall, it almost certainly will not play out this way. Instead, the EU will simply become a place that gets new software late, if at all. And everyone will likely be worse off as a result because compatibility between users in different countries will become a nightmare. Silos which are already naturally in place due to distance will now be reinforced by software, reversing an incredibly empowering and unifying trend over the past many decades of technology.

And the companies creating such software, in this case Apple, will be less nimble when making new software because they'll necessarily get slowed down working in a far more piecemeal fashion to create different versions of code for different places. This has been happening for a while in various parts of the world for different reasons, but the DMA will force this to happen at scale. The term "stifling innovation" gets thrown about a lot these days from the side of the regulators. But these companies bogged down in such bureaucracy sure sounds like the very definition of the term.

Boo-hoo, right? No one feels bad for multi-billion and now multi-trillion dollar massive corporations. But we're all likely to suffer as a result as the end products will suffer as a result. The EU is going to feel this more acutely at first, but we'll all feel it eventually. Or rather, even worse, we won't because sadly, we won't know what could have been had these changes not been put in place.
 
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Unlikely unless an operating system had a monopoly tied to particular regions the way a utility like an electric company might.
Operating for smartphones are a natural duopoly due to network effects.

Third-party developers will develop for only one, two, maybe the three or four most used operating systems - and consumers will converge on them, due to app availability. It‘s a feedback loop, if you will.

But Apple isn't anywhere close to a monopoly with ~25% of the smartphone market in the EU
We‘re talking about mobile apps and customer spending on them - and Apple is estimated to command a majority share of it. More than 50%.

But it does exist, does everything the EU says it wants, and has a MASSIVE marketshare advantage over iOS
Having less than 50% market share of mobile app revenue compared to iOS that has more isn‘t an advantage over iOS.
 
As I linked to in the post, EU consumers are complaining about how Google is now worse because of the DMA in one case, and how the DMA is causing European hotels to lose significant business in another case. If you have a couple of extra clicks to get to Google Maps, I'd say that's minor pain. If you're a hotel whose direct bookings have gone down 36%, I'd say that's moderate to major pain.
It's time for bed here so I'll have to reply to most of your post tomorrow, but I did want to quickly address this one bit, as you're misinterpreted what was going on. Hotels have not lost 36% of their bookings- simply people are booking hotels using different platforms. Have a look again at your own link. It's very good for consumers that gatekeepers can't hide everyone else's platforms for their own benefit.
 
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the actual percentage of Apple’s iPhone sales that occur in the EU is estimated to be around 7-8%.
That statement and figure is obviously ridiculously wrong.

(Though it‘s quite clear it’s not your own calculation or estimate)
 
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That statement and figure is obviously ridiculously wrong.

(Though it‘s quite clear it’s not your own calculation or estimate)
Why is obviously ridiculously wrong? I’ve seen it in numerous places, here is the quickest I found - which I’m sure you’ll discount because it’s Gruber.

There’s some “7 percent sounds way too low” confusion that stems from the fact that Apple, in its quarterly consolidated financial statements, breaks results into five geographic regions: Americas, Europe, Greater China, Japan, and “Rest of Asia Pacific”. “Europe” accounts for somewhere around 25 percent of Apple’s global revenue. That’s the number most people think about. But there are a significant number of high-GDP countries in Europe that aren’t in the EU — the UK (most famously), Russia, Turkey, Switzerland, Norway, and Ukraine. More importantly, Apple’s “Europe” includes the entire Middle East.

So EU member states account for only 25–30 percent of Apple’s revenue from “Europe”, and just 7 percent globally. 7 percent is significant, to be sure, and in addition to users, there are of course many iOS and Mac developers in EU countries.

There’s a long history of Europeans thinking they’re more important than they are.
 
It's time for bed here so I'll have to reply to most of your post tomorrow, but I did want to quickly address this one bit, as you're misinterpreted what was going on. Hotels have not lost 36% of their bookings- simply people are booking hotels using different platforms. Have a look again at your own link. It's very good for consumers that gatekeepers can't hide everyone else's platforms for their own benefit.
I understand my source without your correction - I know the difference in total bookings and direct bookings - I have significant experience in hotel business operations. If hotels are having to pay significantly more commissions to booking.com and Travelocity and the like, that’s significantly impacting their revenue.
 
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No confusion. A market is malleable.

It’s impossible to have a rational discussion when the other side resorts to alternative orthographies for well known business concepts.

I’m sure the rest of the post would follow a similar intellectual approach so I did not bother.

All these tactics for storyline building are irrelevant to regulators. In fact, may make some more weary.

One can fool some people some time but not all, all the time.

This is where I leave this wagon.

Cheers.
 
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Why is obviously ridiculously wrong? I’ve seen it in numerous places, here is the quickest I found - which I’m sure you’ll discount because it’s Gruber.

There’s a long history of Europeans thinking they’re more important than they are.

Gruber got it wrong. And lacks common sense, even if Maestri misspoke (or basic grasp about market sizes of European countries among Apple‘s „Europe“ region).

https://forums.macrumors.com/thread...ys.2432715/page-2?post=33295519#post-33295519

The 7% number was App Store revenue.
 
Why would Europe account for 7% of App Store revenue
They don’t.

Someone got that 7% figure wrong (Please read the link).
And Gruber pounced on it, suspending any common sense he should have.

Do EU citizens buy fewer apps than their North American counterparts?
Possibly. Even likely I reckon.
But they account for way more than 7% of worldwide app (or iPhone. Or overall) revenue.
 
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