WEBVTT - Nick Turner on Apple (Audio)

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<v Speaker 1>All right, when we're looking at Apple now, is it

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<v Speaker 1>professor allow alternative app stores and its iPhones and iPads.

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<v Speaker 1>It's all designed to comply with the strict European Union

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<v Speaker 1>requirements coming in four. Nick Turner is a Bloomberg Senior

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<v Speaker 1>Tech editor, joining is now Nick, thank you so much

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<v Speaker 1>for joining. Does this really at the moment presented? Is

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<v Speaker 1>it a big deal? How big a deal is it?

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<v Speaker 1>What does it do to the future of Apple's closed ecosystem?

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<v Speaker 1>I mean, I think it's it sort of depends on

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<v Speaker 1>how you measure it, but it is a big deal.

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<v Speaker 1>I think just because it's sort of a reversal is

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<v Speaker 1>something that they've a policy that they've held dear for

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<v Speaker 1>so many years, which is not to allow people to

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<v Speaker 1>download apps through means other than the app store. And

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<v Speaker 1>they've said, you know, obviously that's been a lucrative business

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<v Speaker 1>for them because I get commissions on the apps and

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<v Speaker 1>app purchases. But also, um, you know, obviously it's it's

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<v Speaker 1>been a way for them protect what people download on

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<v Speaker 1>their iPads and iPhones and make sure it's say um,

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<v Speaker 1>And they've said before that this would make it harder

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<v Speaker 1>to do that. So it is a significant reversal. Is

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<v Speaker 1>is Apple planning for the entire world. I understand that

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<v Speaker 1>these are changes that are are going to be applied

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<v Speaker 1>because of the law coming in in Europe, but other

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<v Speaker 1>regions may choose to do so. And what's the prospect

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<v Speaker 1>of that happening in the US. Well, so, you know,

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<v Speaker 1>to be clear, they haven't announced any anything yet, but

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<v Speaker 1>from what we understand from inside the company, the idea

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<v Speaker 1>is to start in Europe, where the laws obviously apply, um,

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<v Speaker 1>and then if similar legislation is enacted elsewhere, then this

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<v Speaker 1>would be kind of a blueprint for how to do

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<v Speaker 1>things in other regions. UM. The US and other places

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<v Speaker 1>haven't gone as far as Europe so far, they could.

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<v Speaker 1>There's always the chance, I guess that Apple sort of

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<v Speaker 1>doesn't want to patch work of different policies and just

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<v Speaker 1>kind of make some global on its own, But it

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<v Speaker 1>doesn't sound like we're at that point where we know

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<v Speaker 1>that would be the case. Nick, this is not something

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<v Speaker 1>which is popular within Apple, and I'm quite certain of that,

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<v Speaker 1>and their defense has always been that this represents something

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<v Speaker 1>called side loading, which means in essence, that other people

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<v Speaker 1>will be able to introduce apps to the Apple app store,

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<v Speaker 1>which they claim could present a privacy or another type

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<v Speaker 1>of how should I say, a privacy an unsafe app

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<v Speaker 1>into the home market place, which could be detrimental for

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<v Speaker 1>the whole of what Apple does. Yes, so there's there

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<v Speaker 1>is kind of a contingently plan on that front. I mean,

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<v Speaker 1>Apple's contemplating essentially verifying apps that would be sideloaded. Uh,

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<v Speaker 1>so it would still be somewhat of a gate keeping

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<v Speaker 1>mechanism there to make sure nothing gets on there that

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<v Speaker 1>might be insecure or compromise privacy. And it's possible that

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<v Speaker 1>that verify cation would also have a fee, so it

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<v Speaker 1>would kind of protect some of Apple's revenue um that

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<v Speaker 1>it would lose when when people start sideloading. Yeah, very

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<v Speaker 1>interesting story. Um, kudos to Bloomberg for moving that story. Nick,

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<v Speaker 1>Thank you very much for joining us and shedding some

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<v Speaker 1>light on how this will roll out. Nick Turner is

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<v Speaker 1>Bloomberg Senior Tech editor. This is Bloomberg