Apple is reportedly preparing to allow third-party app stores space on iPhones and iPads in the European Union to comply with its incoming competition laws, according to a report.

The sweeping change to the App Store rules are Apple's response to the EU's Digital Markets Act (DMA), Bloomberg's Mark Gurman reported Tuesday. The DMA targets 'gatekeepers' such as Amazon, Apple, Google, Microsoft, Meta and others. The act came into force on November 1 but gives those gatekeepers until March 2024 to comply. 

Security

• 8 habits of highly secure remote workers
• How to find and remove spyware from your phone
• The best VPN services: How do the top 5 compare?
• How to find out if you are involved in a data breach -- and what to do next

Europe is Apple's second largest market and accounted for$22.7 billion of its$90.1 billion in sales for its fiscal 2022 Q4. However, Bloomberg Intelligence estimates the App Store accounts for 6% of Apple's total revenues.

Also:Follow this one simple rule for better phone security

Allowing third-party app stores on to iOS devices would potentially allow customers to side-load apps and bypass Apple's rules, its payment system and its 15% to 30% commission on payments. 

According to Bloomberg sources, Apple software engineering and services employees are in a major push to open key elements of Apple's platforms. It notes the project could be the foundation of its system for other regions if similar laws are passed in other markets. 

For example, the Australian Competition Commission last month published the latest update to its five-year Digital Platform Services inquiry, which looks at imposing new anti-competition rules on app stores, and is studying the DMA. 

The DMA bans gatekeepers from imposing unfair access conditions on their app store or preventing users from installing apps from other sources. It also aims to make it easier for users to change a device's default settings and allow users to uninstall pre-loaded programs. Potential gatekeepers have until 3 July 2023 to notify the European Commission if they meet DMA thresholds.

The DMA applies to tech firms that had an annual turnover of at least