Microsoft calls Apple’s proposed App Store changes a ‘step in the wrong direction’

Chance Miller | Jan 29 2024 - 3:26 pm PT

Microsoft isn’t thrilled with Apple’s proposed changes to the App Store and the iPhone in the European Union. The company says Apple’s proposed changes are a “step in the wrong direction,” echoing criticism from the likes of Spotify and Epic Games.

Microsoft is hard at work developing an alternative app store for iPhone users, as first reported in December. Microsoft’s store will focus on games, and it hopes to launch the platform later this year. Apple’s proposed changes to the App Store in the European Union, including support for alternative app marketplaces, theoretically pave the way for Microsoft to launch its game-focused store.

Despite this, Sarah Bond, president of Xbox at Microsoft, isn’t fond of Apple’s announcements.

“We believe constructive conversations drive change and progress towards open platforms and greater competition. Apple’s new policy is a step in the wrong direction,” Bond wrote in a post on social media spotted by The Verge. “We hope they listen to feedback on their proposed plan and work towards a more inclusive future for all.”

Microsoft hasn’t offered any more specific information about its problems with Apple’s proposed changes. The obvious assumption, however, is that Microsoft isn’t thrilled about Apple’s Core Technology Fee, which will require developers pay €0.50 for each annual app install. App developers get 1 million free installations before that fee kicks in, but there is no free allotment for developers of app marketplaces.

What’s also worth pointing out is that Apple’s announcements last week included a change to the App Store guidelines to permit game streaming apps for the first time. This change applies worldwide, not just in the European Union. Ideally, this means Microsoft will launch a dedicated Xbox Cloud Gaming app on iPhone and iPad in the App Store. Whether those plans are affected by its disdain for the rest of Apple’s proposed changes is anyone’s guess.

Also worth checking out: former Microsoft Office and Windows executive Steven Sinofsky penned a piece over the weekend with an in-depth look at Apple’s changes.

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