The UK's Competition and Markets Authority has opened an inquiry into recent price increases by Apple and Xbox, raising concerns about consumer harm in the digital goods market. Apple's nearly 20% hike on app store purchases and subscriptions, coupled with Xbox's decision to raise console prices, has sparked fears of coordinated pricing behaviour or market dominance abuse. The CMA will investigate whether these moves stifle competition, particularly in the gaming and mobile ecosystems.
For Apple, the price increase affects millions of UK consumers who use the App Store for in-app purchases, while Xbox's hike impacts console buyers already facing inflation pressures. This probe signals a tougher stance on tech giants, with potential remedies including forced price reductions or behavioural remedies. Investors should watch for regulatory risks to these companies' UK revenue streams, which contribute significantly to their global earnings.
The inquiry is expected to conclude within 12 months.








