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Is Apple doing enough to protect consumers from scams on App Store?

Apple’s App Store is currently worth approximately $64 billion a year. But, it’s still failing to catch the majority of scams that are in circulation on the platform. 

Because of these failings, Apple is currently facing an antitrust hearing. During the hearing, the company’s Chief Compliance Office, Kyle Andeer, was questioned on why Apple is still failing to stop subscription scammers operating on its App Store.

Apple says that it currently has procedures in place to prevent this. It also takes a commission from developers, which it says it puts towards fraud prevention. 

However, Senator Jon Ossof pointed out in the hearing that it’s extremely easy to find scams on the platform, despite Apple appearing to be unable to locate them. The Senator also noted that Apple is making a profit when scammers take money from consumers. 

What has Apple done to combat the issue?

According to Kyle Andeer, Apple spends “hundreds of millions” of dollars every year to ensure its App Store is providing adequate safety, security, and privacy for its customers. 

But, he also said that, although the tech giant is always trying to improve its services by investing resources and improving its technology, online fraud can be challenging to deal with. 

He added that App Store currently rejects thousands of apps every year. Any app that’s identified that could pose a risk to consumers is removed as quickly as possible. 

Andeer continued by saying, ”No one is perfect, but I think what we’ve shown over and over again that we do a better job than others.” 

“I think the real risks of opening up the iPhone to sideloading or third-party app stores is that this problem will only multiply. If we look at other app stores out there, we look at other distribution platforms, it scares us.”

Lastly, he denied the accusation that Apple profits from scam billing practices on its platform. Apple does make a cut from all sales, but Andeer said that he doesn’t believe this is the case as the company acts quickly when it finds a problem and aims to provide refunds to those affected. 

Linda Conrad

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