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EFF: Apple "acting as a jealous and arbitrary feudal lord"

By | March 10, 2010, 10:28am PST

Summary: The Electronic Frontier Foundation (EFF) has criticized Apple over its iPhone developer’s contract, branding the company “as a jealous and arbitrary feudal lord.”

The Electronic Frontier Foundation (EFF) has criticized Apple over its iPhone developer’s contract, branding the company “as a jealous and arbitrary feudal lord.”

Earlier this week the EFF used a Freedom of Information Act request to obtain a copy of Apple’s iPhone Developer License Agreement from NASA (the EFF as subsequently been given a later version of this agreement). This is the agreement that developers have to agree to in order to be able to develop and publish apps through the App Store.

Poll

Apple, is it ...

Fred von Lohmann, EFF’s senior staff attorney, has been through the agreement and calls it “very one-sided contract, favoring Apple at every turn.” Some of the troubling aspects of the agreement that has come under von Lohmann’s scrutiny are:

  • Ban on Public Statements
  • App Store Only
  • Kill Your App Any Time
  • We Never Owe You More than Fifty Bucks

How can Apple get away with imposing such heavy-handed restrictions on developers?

Because it is the sole gateway to the more than 40 million iPhones that have been sold. In other words, it’s only because Apple still “owns” the customer, long after each iPhone (and soon, iPad) is sold, that it is able to push these contractual terms on the entire universe of software developers for the platform.

It’s all down to competition, or the lack of it:

In short, no competition among app stores means no competition for the license terms that apply to iPhone developers.

von Lohmann then goes on to accuse Apple of acting like a “feudal lord” rather than a “leader.”

If Apple wants to be a real leader, it should be fostering innovation and competition, rather than acting as a jealous and arbitrary feudal lord. Developers should demand better terms and customers who love their iPhones should back them.

I don’t expect that Apple will amend its ways based on criticizm from the EFF, but it does serve to highlight how Apple is tying up its developers.

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Topics

Apple iPhone, Developer, Electronic Frontier Foundation, Apple Inc., Agreement, Labor Relations, Smart Phones, Human Resources, Consumer Electronics, Personal Technology, Adrian Kingsley-Hughes

Adrian Kingsley-Hughes is an internationally published technology author who has devoted over a decade to helping users get the most from technology.

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Adrian Kingsley-Hughes

All opinions expressed on Hardware 2.0 are those of Adrian Kingsley-Hughes. Every effort is made to ensure that the information posted is accurate. If you have any comments, queries or corrections, please contact Adrian via the email link here. Any possible conflicts of interest will be posted below. [Updated: February 23, 2010] - Adrian Kingsley-Hughes has no business relationships, affiliations, investments, or other actual/potential conflicts of interest relating to the content posted so far on this blog.

Biography

Adrian Kingsley-Hughes

Adrian Kingsley-Hughes is an internationally published technology author who has devoted over a decade to helping users get the most from technology -- whether that be by learning to program, building a PC from a pile of parts, or helping them get the most from their new MP3 player or digital camera.

Adrian has authored/co-authored technical books on a variety of topics, ranging from programming to building and maintaining PCs. His most recent books include "Build the Ultimate Custom PC", "Beginning Programming" and "The PC Doctor's Fix It Yourself Guide". He has also written training manuals that have been used by a number of Fortune 500 companies.

Adrian also runs a popular blog under the name The PC Doctor, where he covers a range of computer-related topics -- from security to repairing and upgrading.

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There it is again!
jaypeg Updated - 12th Mar 2010
"And in their own market, they are a monopoly."

There's that moronic idea again. Ask Pystar how far that kind of thinking
got them when they sought to use it as a justification for stealing Apple's
IP. HTC and all the other knock off artists will just have to learn to put in
the effort and resources required to come up with their own novel
innovations. Of course it can be done! Apple does it time and time again.
Innovate and compete honestly.
View in thread
0 Votes
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Not necessarily a bad thing
Snooki_smoosh_smoosh Updated - 10th Mar 2010
"It?s all down to competition, or the lack of it:

In short, no competition among app stores means no competition for the license terms that apply to iPhone developers."

As was recently discussed yesterday by another blogger on this site, that jailbroken iphone, and android devices which are allowed to install software from any source were hit with a botnet.

And once again if a developer doesn't like the terms Apple laid out, then by all means they are welcome to develop for Android, WiMo, and blackberry.
0 Votes
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One Sided
voyager529 10th Mar 2010
The argument you present here is one-sided. The
nature of Cydia et al relies on OpenSSH, and
the login to that ships with a default
password. If the user fails to change it, then
it's trivial for owners to be pwned. This is no
different than any other device; Linksys
routers, switches, and servers are all trivial
to hack if left at default passwords.

As such, I guess it does depend on how you look
at it. Apple can manage your security by
keeping their iron grip on their ecosystem, or
the end user can take matters into their own
hands (including security). In the latter case,
there will always be people who don't implement
security, and THEY will be pwned.

Joey
0 Votes
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The recent article I refered to is
Snooki_smoosh_smoosh 10th Mar 2010
http://www.sophos.com/blogs/gc/g/2010/03/09/8000-iphone-android-users-duped-joining-smartphone-botnet/

well there was one on here on ZDNet as well about this story, but this was one I was able to find about it on Google.

Basically boils down to the research firm that developed this botnet published their app to a third party store, or direct download, whatever happens to be the case, and users installed it. The app itself looked harmless enough, as it posed itself as a weather app.

Had absolutely nothing to do with SSH default passwords.
0 Votes
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I want an appliance. I want to use my device and never
James Quinn 10th Mar 2010
have to worry about security and or tinkering with my appliance like a
toaster. I want to buy the toaster take it home and make toast. I don't
want to open it up to install a power cord that I had to purchase from
another store, nor do I want to open it up and install a browning device
because well I can. I'll buy a toaster with a browning dial and a cord
already installed thank you very much. Sheeeezzzzz

Pagan jim
0 Votes
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great
Ron_007 11th Mar 2010
you and 95% of computer users want that. But since when could your toaster slice, dice, julienne , broil, bake, BBQ, braise, roast, meat, vegetables, breads, cakes.

A toaster does one thing (browns bread) and (hopefully) does it well. Its design has evolved to efficient simple elegance from a forked stick over an open fire to the electric toaster.

The computer equivalent of a toaster is a digital watch with a date display. Or one of those 4 function calculators that are credit card size to fit in your wallet or on a key chain fob. You can buy them for $1 to $10. They are simple, elegant, do one thing and do it well.

Your desktop or laptop general use computers are a long way from a toaster.

Wake up and smell the coffee (and toast) Pagan Jim.
0 Votes
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And they will (develop for the andriod, blackberry, etc)
DevGuy_z 10th Mar 2010
That's the point and the problem. If they tic off the developers, what do they have left - a device that is losing its competitive advantage - apps. because feature-wise it is losing its advantage already.

Developers won't be pushed around, they will migrate to other devices that are easier to develop for and that offer similar capabilities and that means that the cooler apps won't be iPhone's but others.
0 Votes
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Apple has always treated developers like dirt, only fools continue to work
No_Ax_to_Grind 10th Mar 2010
sad
0 Votes
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One man's dirt is another man's $$$
frgough 10th Mar 2010
And the app store can bring in a lot of $$$.
0 Votes
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Only if Apple allow it - it doesn't always allo
deaf_e_kate 11th Mar 2010
competition with its own products
0 Votes
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Developers will put up with it because there is money to be made.
Tigertank 10th Mar 2010
The alternative is to produce apps for other app stores that offer more
equality but which won't bring in a fraction of the revenue that the Apple
App store brings in. The choice is there.
0 Votes
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True, but that'll change with Android gaining ground
zeth06 10th Mar 2010
True, but that'll change with Android gaining
ground. Imagine the consequences of apps being
coded on one platform and available for multiple
carriers.
0 Votes
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Unless they don't make any money of of Android
John Zern 10th Mar 2010
to the level they do with Apple.

Thye'll go where the money is.
0 Votes
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Maybe, but its not what you may think.
No_Ax_to_Grind 10th Mar 2010
Especially if Apple decides they want your app and disallow it and make their own.
0 Votes
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Yeah right
hill60 Updated - 10th Mar 2010
There is no restriction imposed by Apple on who developers can develop
applications for.

Want to make money and have all the marketing, hosting, payment
collection and piracy protection done for you, then agree to Apples terms
and sell via the App store.


Don't like it go sell your application somewhere else.
0 Votes
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The EFF argument fails on one very key element
frgough 10th Mar 2010
A contract is a VOLUNTARY agreement.

The EFF, on the other hand, wants to use the power of the
state to COMPEL others to act in a way EFF thinks they
should.

The wannabe dictators here are not Apple.
0 Votes
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Didn't you mean The EFF argument fails on one very key element:
John Zern 10th Mar 2010
that they're badmaouthing Apple?
0 Votes
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I'm trying to . . .
JLHenry 11th Mar 2010
Figure out how he/she/it thinks that the agreement is Voluntary . . .Unless it is saying that you only agree to it IF you want to program Apps at all . . .

It's a shame that contracts like that are automatically void when dealing with the Federal Government, according to Congress . . . happy
0 Votes
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Then don't make iPhone apps. Duh! nt
T1Oracle 10th Mar 2010
nt
0 Votes
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Antitrust rears its ugly head
wolf_z 10th Mar 2010
Consider. Apple is the only gateway to iPhone/iPad/etc software market. They are a 100% monopoly by definition.

Then look at the contract.

Then look at the DOJ's definition of the market in the MS antitrust case: "software that runs on x86 processors".

Substitute the words "iPhone/iPad" and Apple is on very thin ice...
0 Votes
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What processor does the iPhone run on I don't think
James Quinn 10th Mar 2010
its X86. I'm certain the iPod is not X86 since it's Apple's own processor.

Pagan jim
0 Votes
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Nobody said that.
Lester Young 10th Mar 2010
The reference was about Microsoft on x86, not Apple.
0 Votes
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Moronic understanding of monopoly
jaypeg 10th Mar 2010
You need to go back and read how the courts responded to similar
claims made by Pystar.

Apple is a vertical integrator. They make their own hardware and
software--the entire widget. Unlike Microsoft they don't try or
presume to make one OS to rule all hardware and then wield the power
gained from that to whip OEMs into line. Apple owns their own
ecosystem so they are within their rights to say, "our way or the
highway," because there IS still a highway. There a lots of
competitors--MS, Google, Nokia, etc. Microsoft ran into antitrust
trouble because they took over or wiped out the entire highway, then
started coercing their OEMs, their licensees, by saying, "get in line or
die." There's a world of difference here.

Apple does not harm competitors within the larger market place, other
than by honestly competing them.
0 Votes
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You didn't understand the Microsoft antitrust case.
Lester Young 10th Mar 2010
Microsoft leveraged its OS share by making anti-competitive deals with OEMs to not bundle Netscape. It was not "my way or the highway." Leveraging a dominant position in the OS space to exclude a competitor's browser is quite similar to leveraging exclusive access to customers to keep competitor's software off a device. And Apple's suit against HTC shows their intentions to monopolize sophisticated touchscreen applications on smartphones. So given a choice between developing for the Android platform, which needs litigation resolution, and working in the walled garden of the iPhone, developers are not left with good choices.
0 Votes
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I understood it very well
jaypeg Updated - 12th Mar 2010
You however, fail to see the basic difference between Apple and
Microsoft with regards to anticompetive and coercive behaviour. Apple
does not openly license it's OS. It doesn't presume to create an 'open'
ecosystem. It never did. No one is making coercive backroom deals
with developers to stay with the iPhone or app store. Apple has
created it's own vetically integrated silo of hardware, software and
services. They have done such a great job of this that competitors
outside the silo have begun to feel jealous and threatened. And guys
like you begin to imagine that somehow all this legitimate success is
somehow illegal. Too bad. The truth is Apple is doing nothing to
restrict or curtail any competition. Google, Microsoft, Nokia and others
are free to build their own open or closed ecosystems and are trying
really hard to do so.

Success and innovation itself is not anticompetitive--that should have
been your take away from the MS vs DOJ case.
0 Votes
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Not if Apple's lawsuit against HTC succeeds . . .
JLHenry 11th Mar 2010
then they would be the only Highway . . . And a Monopoly.

And in their own market, they are a monopoly.

Apple has to walk a tightrope on this one. If the App store gets declared an actual marketplace, or is understood to be one by a judge, then Monopoly rules would apply, and they would not be able to regulate their store other than to ensure that an App wasn't Malware, a virus program, or some other way to rip off people (scam-wise, that is) . . .
0 Votes
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There it is again!
jaypeg Updated - 12th Mar 2010
"And in their own market, they are a monopoly."

There's that moronic idea again. Ask Pystar how far that kind of thinking
got them when they sought to use it as a justification for stealing Apple's
IP. HTC and all the other knock off artists will just have to learn to put in
the effort and resources required to come up with their own novel
innovations. Of course it can be done! Apple does it time and time again.
Innovate and compete honestly.
0 Votes
+ -
ARM
hill60 Updated - 10th Mar 2010
ARM processors like Symbian, WinMo, RIM, Android, WebOS, Meamo and
others run on, all trying to mimic the success of Apple's App store and
all clamouring for developers to help.

Your point?
0 Votes
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More than **100 000** developers are fine&happy with $ they get from Apple
DeRSSS 10th Mar 2010
EFF two years late to moan about it. It was two years and no one actually complained about the terms of the agreement. Even Microsoft signed it and was fine.

Companies receive money from Apple and they are happy.
0 Votes
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Of course they haven't complained... DUH...
Wolfie2K3 10th Mar 2010
It's in the contract. The first commandment -

Thou shalt NOT speak of the agreement. Period.

No one wants to get sued into oblivion by Apple (or anyone else for that matter).

I'm sure as I'm sitting here that there ARE unhappy campers out there - like the developers of those 5000 odd apps that Apple recently yanked in a puritanical rage. NOT one of them had much to say about it. Why? Because they weren't allowed to comment.
0 Votes
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But will it remain that way. Probably not
DevGuy_z 10th Mar 2010
NT
0 Votes
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"...developers are fine&happy..."
KTLA 10th Mar 2010
Apparently you didn't read the article. The entire point was that if someone is unhappy with it, they aren't allowed to detail that, as per the very agreement you say they are so happy with.

Quite amusing.
0 Votes
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EFF might want to read Android's agreement and such
DeRSSS 10th Mar 2010
And EFF might want to read Android's agreement.

Google can pull any application any second (and it did with tethering ones), it can ban or prohibit whatever (and it did with tethering), and definitely does not owe anything to the developers. Even $50.
0 Votes
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Another example
hill60 10th Mar 2010
Google also disabled voice navigation in Google Maps on European
handsets after developers enabled it.

Where were the EFF hypocritical hippies then?

Maybe Apple should put the "Do no evil" mantra somewhere in their
mission statement to keep these nutjobs at bay, with Google it's very
"1984".
0 Votes
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Apple was #1 to propose 70/30 scheme for developers; others took more $$
DeRSSS 10th Mar 2010
Similar to what now Apple does not Amazon book business.

Amazon purchased books for 50% of list price, and Apple offers 70%. And different model -- publishers set prices themselves.

So Apple's software selling model very much encourages competition and it brought significant boost to the industry and developers.
0 Votes
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Maybe it's not fashionable to think, but...
Yensi717 10th Mar 2010
This is Apple's device and creation; they should be free to dictate the terms of its use. Apple has no obligation whatsoever to provide developers anything they don't want to. If you're a developer want to make money off of their device/invention/creation, you should follow their terms for the privileged of doing so. They shouldn't have to follow yours.

That being said, if you have your own device (ipod, iphone, ipad, iwhatever) you should be able to do with your own device whatever you please. Still, Apple has every right to say, "Sorry not going to help you" if you jailbreak it, install a piece of software that blackmails you, your family, and kills your dog before totally fry itself.

And as far as what software they want to accept or reject into their AppStore, it is totally their choice as well no matter what the reason is. If it's "inappropriate content", they are the ones who are going to be named in the lawsuit demanding a billion dollars because little Johnny saw something that made his mother mad. If Apple rejects the software because it competes with them, that's fair too! That would be like Toyota requiring Ford to sell their cars at their dealerships.

Just my $0.02
0 Votes
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Bad analogy
Lester Young 10th Mar 2010
Toyota has their own dealerships. The app store is like Ford owning all the dealerships for Ford and Toyota. If Toyota got the shaft, they couldn't do anything about it without their own dealerships, i.e. a competing app store.
0 Votes
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Bad analogy Mark II
hill60 10th Mar 2010
Apple doesn't own "all the dealerships", there are competing platforms
with competing software development and distribution models.
0 Votes
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Not on the Iphone there isn't . . .
JLHenry Updated - 11th Mar 2010
And THAT'S the point.

MS tried the whole "we're not the only OS for x86's" path, and STILL got ruled a monopoly for trying to bundle apps, even though they didn't stop other browsers from being installed, as Apple does . . .

Apple needs to be aware that the same CAN happen to them.
0 Votes
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Should a tie maker dictate to me which knot i can use?
deaf_e_kate Updated - 11th Mar 2010
that is such a stupid argument. If you buy a product then you can do anything you like to it. If that voids their warranty then fine, on my head be it.
If I need to install a piece of software to do my work then Apple should not be able to stop me from installing and using it. They can limit what they sell on their App Store but they should not be allowed to stop me shopping elsewhere.
0 Votes
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RE: EFF: Apple and developers
DevGuy_z 10th Mar 2010
Apple better not tick off the developers. They have choices now that they didn't before, i.e. Symbian OS (now completely open) and Android (mostly open) and tools. If blackberry ever follows suite...

One of the main reasons Microsoft has survived is that it has arguably the best developer eco-system around. It isn't totally free but the tools, support and and libraries available are simply awesome. Nor do you have to use their tools. They are constantly adding things to make developer's lifes easier. And there almost no licensing issues or distribution issues for your apps.

Apple, if they squeeze too tight (which it looks like they are doing) will alienate developers and if the developers go then the all precious apps go too.

Feature-wise the advantages to the iPhone are diminishing if not totally gone in comparison to HTC and other newer smartphones. So the developer-app ecosystem is all they've got.
0 Votes
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Who knows whether they'll make more money with one or other?
zeth06 10th Mar 2010
Android's app approval process isn't as draconic or time-
consuming. When you take into account the diversity of
Android phones available, even if the average developer is
making $10 less per app sale, he still has to cater to an
ever-growing market of Android customers. So let's sum it up
into points:

1. Android OS is adopted across multiple carriers. That
leads to a huge potential for more customers as the numbers
show.

2. Android's app approval process doesn't take months and
customers are actually allowed to use Google voice.

3. We need more info showing developers make more money when
they make and sell apps for iPhone/Apple Touch rather than
with Android. Even after taking out points #1 and #2, I
haven't read any articles proving so or otherwise. Anyone
wanna enlighten me?
0 Votes
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I'd like...
hill60 Updated - 11th Mar 2010
...to use Google Voice but I'm not allowed to, Google won't let me,
apparently I have to be in America, I even installed it on a HTC Magic
along with some applications that make it do farts.

I remember when Apple banned "Pull my Finger" the EFF will be pleased
to know that it is in the Android Market.

btw I'm on one of the 80+ carriers that carry the iPhone WORLDWIDE, my
iPhone is officially unlocked I am free to use any GSM carrier I can get a
SIM card for.
0 Votes
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While you are distracted with Apple, Microsoft is cleaning up
root12 11th Mar 2010
..Yes, the PR against other tech companies, such as Apple,
is working for Microsoft very very nicely. While Microsoft is
fighting Google and Apple through third parties, web tech
sites, bloggers etc, by it's patent deals with with other
companies, it growing IP portfolio, etc, all you guys are
mislead into believing Apple and Google are the bad guys.
The leaders at Microsoft must be laughing at the number
of sheep out there, even though they may be people with a
brain. All this is working is Microsoft's favour to increase
their already dominant position. Please people, take a step
back and look at what is happening.
0 Votes
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This is, of course . . .
JLHenry 11th Mar 2010
refuted by the simple fact that Windows Mobile is losing market share every day, while Android is growing....


Try again.
0 Votes
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What a load of tosh!!
Grufster 11th Mar 2010
From my perspective the current smartphone 'model' was created
by Apple. They had the sight to build a device that over 40 million
people like. It kinda does what it says on the tin. I've used nokia,
Microsoft, Rim, Sony etc and without realizing it most of the
conputers, mobiles, mp3's etc that I use now are Apple products.
They work, they are easy to use, and don't cause me a headache.
If it's Apple's way of doing things that has resulted in these
products then why the he'll can't they dictate how you develope
apps and programs for them. It's their baby and they have allowed
people in on the upbringing of it and in the process allowed a lot
of people to make their fortune. Is that really that wrong? And
before anyone calls me a mac head or words to that effect I also
have 2 windows pc's one running win7 a nokia phone, a
blackberry and several MP3 devices made by other companies, I
just use the apple stuff cos it works consistently with out fault. All
down to apples way of doing things.
0 Votes
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RE: EFF: Apple and Toasters...
Chriswoodruff Updated - 11th Mar 2010
And you want the company to dictate that you can only use Wonder White Bread.
Maybe for a small upgrade fee, they will permit Wonder Wheat bread - but no sourdough, no english muffins and just forget about bagels.

Oh and if we catch you trying to use any of these? We'll disable your toaster... or take back all the toast we've made for you in the past.

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