New Bill Would Force Apple to Allow Third-Party App Stores and Payment Systems

The App Store Freedom Act, introduced by Representative Kat Cammack (R-FL) in May 2025, proposes significant changes to how major app stores operate in the United States. This bill targets large app store operators, defined as those with over 100 million users in the US, such as Apple and Google, aiming to foster competition and protect both consumers and developers in the mobile app marketplace.

Key provisions of the bill include:

• Allowing users to install and set third-party app stores as default on their devices.
• Requiring app stores to permit developers to use third-party payment systems, breaking the monopoly on in-app purchases.
• Ensuring developers have equal access to interfaces, features, and development tools without discrimination or additional costs.
• Allowing users to remove or hide pre-installed apps on their devices.

The bill also outlines enforcement mechanisms, with the Federal Trade Commission empowered to impose penalties, including civil fines up to $1 million per violation. This regulatory approach aligns with recent European Union legislation that has already compelled Apple and Google to open their platforms to third-party app stores and payment options, enhancing user choice and developer freedom.

Industry experts note that dominant app stores have historically controlled customer data and restricted payment methods, resulting in higher costs for consumers and limited innovation opportunities for developers. By mandating openness and fair access, the App Store Freedom Act seeks to dismantle these barriers, fostering a more competitive and innovative mobile app ecosystem.

For developers and businesses, this legislation could mean expanded opportunities to reach users through alternative app stores and payment processors, potentially reducing fees and increasing revenue. Consumers stand to benefit from greater choice, lower prices, and enhanced control over their devices.

As the mobile app landscape evolves, compliance with such regulations will be critical. QuarkyByte’s expertise in software development trends and regulatory impacts can help stakeholders adapt strategies, optimize app distribution, and leverage new payment integrations effectively.