Apple has often referenced insecure and fraudulent apps as a rationale for its desire to sell all iPhone applications exclusively through the company’s own App Store. Nonetheless, various reports have indicated that there is a significant presence of scam apps that make it past Apple’s app review process, and the company is currently facing renewed legal scrutiny in the EU regarding this matter.
### The App Store Dispute
Apple has faced legal challenges in multiple countries globally due to its monopolistic domination over the sale of iPhone applications. It has been compelled to allow third-party app stores within the EU and to ease some of its regulations in the US. The company has frequently contended that its stringent control over the App Store is the sole method to ensure that iPhones remain protected from fraudulent applications and similar threats. However, this argument loses strength when considering the considerable number of deceitful apps that have gained entry into the store.
A 2021 investigation uncovered that scam applications constitute nearly 2% of the top-grossing apps in this store, and the company has recently permitted a dating application into the App Store that was discovered to have compromised the private conversations and personal information of tens of thousands of women.
### Apple Faces Legal Examination Over Fraudulent Apps
The Financial Times indicates that the EU is now poised to investigate whether Apple and three other major tech companies are implementing adequate measures to safeguard consumers from fraudulent applications and various forms of financial scams. The EU is set to review if Apple, Google, and Microsoft are not effectively monitoring financial fraud online, as it intensifies efforts to regulate the operations of Big Tech on the internet.
EU tech chief Henna Virkkunen remarked that the bloc will examine how Apple and Google are managing counterfeit applications in their app stores, including phony banking apps. The commission will also assess whether Google and Microsoft provide enough protection against scam listings in their search engines, while Booking.com faces criticism for permitting fraudulent accommodation advertisements. Numerous travelers have arrived at properties only to discover that they either do not exist or have legitimate owners who are unaware of their alleged reservations.
The EU has recently been concentrating on issues related to child safeguarding and electoral integrity, and addressing financial scams is now being prioritized. If any of the companies are found to be negligent in their legal responsibilities to prevent illegal content, they could incur penalties of up to 6% of their yearly global revenue.
