Microsoft Announces New App Store Guidelines as Activision Blizzard Deal Wins Over Regulators

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 HIGHLIGHTS

  • Microsoft seems to be attempting to distinguish itself from Apple and Google.
  • All programmes in a Microsoft store will be treated the same way.
  • Tech behemoths have come under pressure from a variety of angles.

Microsoft on Wednesday sought the approval of antitrust regulators looking into its proposed acquisition of video game company Activision Blizzard, stressing that any app store it creates will treat creators equally.

Microsoft President Brad Smith outlined a set of "Open App Store Principles" that will apply to the store that runs on Windows-powered machines as well as "the next-generation marketplaces we will develop for gaming."

"We created these principles in part to address Microsoft's increased role and duty as we begin the process of seeking regulatory permission in capitals worldwide for our purchase of Activision Blizzard," Smith said in a statement.

Microsoft's $69 billion (about Rs. 5,17,290 crore) acquisition of video game behemoth Activision Blizzard must pass muster with European and American regulators bent on reining in tech heavyweights.

Following the announcement of the merger plans last month, analysts told AFP that the transaction would undoubtedly be reviewed, although possibly less severely than a purchase by Amazon, Google, or Facebook-parent Meta.

Microsoft looked to be attempting to distinguish itself from Apple and Google, which have been accused of tightly regulating their own app stores and taking too large a cut of developer income.

Microsoft's principles included granting all developers access to its app store and not compelling them to utilise the technology company's payment mechanism for in-app transactions.

According to Smith, all programmes in a Microsoft store will be handled identically. "We want to stimulate greater innovation and investment in content development, as well as fewer distribution limits," he stated. "The world demands open app marketplaces, which necessitates open app shops." Tech behemoths have been chastised on numerous fronts for their app store regulations. The Dutch consumer authority penalised Apple EUR five million (approximately Rs. 40 crore) in January for neglecting to allow dating app owners to pick payment choices other than the Apple Pay system in its Dutch App Store.

After a legal battle with Fortnite developer Epic Games, which claimed Apple of having a monopoly in its store for digital products or services, a US federal judge ordered Apple to loosen control of its App Store payment choices in November. However, the US judge ruled that Epic had failed to establish antitrust crimes had occurred. Epic Games is embroiled in a legal struggle with Apple and Google, whose operating systems power practically all smartphones on the planet.

On transactions done on Apple's App Store and Google Play, both firms charge what they judge acceptable fees.

However, app developers have grown more enraged in recent years at the cut taken by the digital behemoths.


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