Morgan Reed criticizes Open App Markets Act over potential impact on small businesses

Morgan Reed criticizes Open App Markets Act over potential impact on small businesses

Technology
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Morgan Reed Executive Director of The App Association (ACT) | The App Association (ACT)

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Morgan Reed, president of ACT | The App Association, has voiced strong opposition to the re-introduction of the Open App Markets Act (OAMA). In a statement, Reed described the bill as "a mistake," arguing that without a federal privacy and data security framework, it compromises consumer protections and small businesses in favor of large corporations. "This is another example of how small businesses and entrepreneurs are being crushed underfoot while 800-pound gorilla tech companies are fighting it out," Reed stated.

ACT | The App Association maintains its stance against OAMA, emphasizing several concerns. The association argues that the bill would allow more malware, copycat apps, and fraudulent reviews by restricting essential management functions relied upon by small app companies. It also contends that the act would reduce choice and competition in application delivery options for developers by forcing mobile software platforms to operate like flea markets.

Further concerns include an increased risk of cyberattacks on mobile devices due to mandatory sideloading provisions. Sideloading is seen as a way for criminals to bypass technical security features. Additionally, ACT | The App Association warns that costs for small businesses could rise if app stores are forced to replace their current fee structure with one that disproportionately affects smaller app companies.

The App Association represents small and medium-sized technology companies globally. Its members include entrepreneurs, innovators, and independent developers within the global app ecosystem. The organization aims to foster a policy environment conducive to innovation while supporting its members in capital raising, job creation, and technological advancement.

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