Summary of HR 5313: App Store Freedom Act

Bill Number: HR 5313

Introduced: September 11, 2025

Status: Introduced in House

Sponsor: Mr. Russell Fry

Committee: Referred to the House Committee on Energy and Commerce

Related Bills: HR 3209 (companion)

Purpose and Intent

The App Store Freedom Act aims to promote competition and fairness in the app marketplace by prohibiting unfair or deceptive practices by companies that control app stores and operating systems. The bill seeks to empower app developers and users by ensuring greater access and choice in how apps are distributed and monetized.

Key Provisions

1. Interoperability Requirements

• Default Choices: Companies controlling app stores must allow users to select third-party apps or app stores as defaults.
• Installation Flexibility: Users should be able to install apps from sources other than the company’s app store.
• App Management: Users must have the ability to hide or delete pre-installed apps.

2. Open App Development

• Access for Developers: Companies must provide developers with access to necessary interfaces and features of the operating system without charge, ensuring equal terms as those provided to the company’s own apps.
• Compliance Standards: Companies can comply by licensing intellectual property needed for app development.

3. Prohibitions on Unfair Practices

• Exclusivity and Tying: Companies cannot require developers to use their in-app payment systems or impose punitive measures for using alternative payment options.
• Business Communication Restrictions: Companies cannot restrict developers from communicating with users about pricing or terms of sale.
• Use of Nonpublic Information: Companies are prohibited from using nonpublic business information from apps to compete against those apps.

4. Enforcement Mechanisms

• Federal Trade Commission (FTC) Oversight: Violations of the Act will be treated as violations under the FTC Act, allowing the FTC to enforce penalties.
• Civil Penalties: Companies found in violation may face civil penalties of up to $1,000,000 per violation.
• State Enforcement: State attorneys general can bring civil actions on behalf of residents affected by violations.

Impact

The App Store Freedom Act is expected to significantly impact:
- App Developers: By providing more equitable access to app distribution and reducing reliance on dominant app store ecosystems.
- Consumers: By enhancing choices in app selection and payment options, potentially leading to lower prices and better services.
- Tech Companies: Major companies that control app stores may face increased scrutiny and operational changes to comply with the new regulations.

Procedural Aspects

• The bill was introduced and referred to the House Committee on Energy and Commerce on September 11, 2025. Further legislative actions will determine its progression through Congress.

This legislation represents a significant step towards ensuring a competitive and fair app marketplace, addressing concerns about monopolistic practices in the tech industry.