Apple faces renewed scrutiny over its contentious App Store guidelines as US lawmakers launch an inquiry into the matter. Congressman Gus Bilirakis (Republican) and Congresswoman Jan Schakowsky (Democrat) from the Subcommittee on Innovation, Data, and Commerce have jointly written a letter to Apple’s CEO Tim Cook, expressing concerns about the company’s treatment of apps related to Non-Fungible Tokens (NFTs) and the blockchain. The lawmakers accuse Apple of hindering innovation and restricting the functionality of blockchain-based technologies through its current App Store policies.
The letter contends that “Apple has used its App Store guidelines to increase its own profits and reduce the utility of apps in blockchains, NFTs, and other blockchain-related technology.” Consequently, they are seeking an explanation from Apple regarding these allegations.
A major point of contention raised in the letter pertains to Apple’s insistence on “lite” versions of apps dealing with NFTs in order to comply with the App Store guidelines. For instance, the letter cites the case of Axie Infinity, which reportedly struggled for two years to gain approval for its app on the App Store. However, the company was eventually forced to release a limited version that lacked core NFT mechanics, leaving it unavailable to users in the United States.
The letter also highlights accusations made against Apple, suggesting that the company employs the App Store as a tool to undermine its competitors – a claim that has been previously made against the tech giant. Apple has defended itself by asserting the need to rigorously review all apps to ensure security and consistency on its iPhones. However, critics argue that financial motivations might play a role in some of these decisions.
As an example, the letter mentions a situation brought to light by crypto marketplace Coinbase. In December 2022, Coinbase claimed that Apple compelled the removal of NFT transfers from its Wallet app on iOS, citing the App Store guidelines and requesting a 30% cut of the gas fees associated with any NFT transfer – a fee paid to the blockchain network to execute specific tasks.
Congressman Bilirakis and Congresswoman Schakowsky conclude the letter by expressing gratitude for Apple’s prompt attention to their request for clarification. The response from the company will be eagerly awaited by both the blockchain community and the broader technology industry.
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