Owners of marketplaces (for example, such as Google Play and the App Store) can legally prohibit vicious internal policies that lead to antitrust violations and discrimination against business partners, which are SOFTWARE developers.
Having reasoned philosophically and applied the usual logic, Russian parliamentarians submitted one draft law to the State Duma of the Russian Federation on September 1, 2020.
The idea is to regulate the activities of marketplaces: in particular, to deprive companies that use app stores, including Google and Apple, of half of their profits by reducing the Commission for developers, as well as all additional quarterly payments.
Also, one of the provisions of the bill suggests that the owners of marketplaces will be required to allow users to install app stores from other companies on their devices.
About the logic:
Let’s analyze the example. You are, for example, Apple. You have an App Store. You invested money in creating:
- Devices (iMac, iPhone, iPad);
- Operating system (iOs);
- and, of course, to your crown of creation – the App Store.
Of course, You continue to support the development of devices and the operating system. In the App Store, you invite third-party developers to expand the features in the SOFTWARE part. You create a corporate internal policy that States that all SOFTWARE purchases and in – app deductions will then be charged 30% in Your favor.
But there are developers who say: this is too much. What do you say to them? Of course-see our policy: when you signed the agreement on the placement of your products, no one objected? And block dissenters.
And then-a karmic reaction-the state tells You: “You have created your environment and your policy. Of course, this is Your business. But, you see, you are in the legal field of States – and they, just imagine – also have their own policies! And the Antimonopoly services also exist”…
How do marketplaces work?
Unlike other stores, the marketplace does not sell anything: it provides space for sellers and owners of online stores, and not for free-marketplaces take a Commission and receive advertising revenue, and additional deductions may be provided in favor of the marketplace.
In short, it is often more convenient to search for and order products on the site of a large trading platform than on the sites of disparate online stores. Large sites usually support all payment methods for products and allow you to return money if the product is of poor quality.
To create a high-quality trading platform, you need large investments — both in technical solutions (servers, development team) and in marketing (finding partners and suppliers, attracting traffic). Therefore, only large companies can launch a full-fledged marketplace, which does not always contribute to the development of competition.
However, large Russian companies are also gradually launching their own marketplaces. From Yandex-in the fall of 2018, a full-scale launch of the Beru marketplace took place. Now this marketplace offers a variety of products-from food and medicine to computers and smartphones. In October 2018, the start of work across Russia was announced by the marketplace from “m”.Video” — Goods.ru…
The draft law “on the marketplace”, the initiative of which belongs to the Deputy head of the Fair Russia faction Fedot Tumusov, affects all companies that own branded marketplaces.
For example, the Commission in the Google Play store is 30%, but owners of Android devices can technically install a third-party store. This feature is completely absent on Apple’s mobile gadgets, which has its own store (App Store) it also requires 30% deductions from developers.
According to the Deputy, the problem with high commissions in marketplaces is discussed in many countries of the world, not only in Russia. “The appearance of such a rule would reflect Russia’s position in our jurisdiction,” Tumusov said.
By the way, at this time, similar initiatives are being worked out by many European countries and not only-Spain, great Britain and Australia are seriously conducting both legal and antitrust assessments of the activities of large companies in order to bring their activities in line with the norms of legislation and generally accepted commercial ethics.