119-s2153

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 2153 Introduced in Senate

    (IS) ]

<DOC>

119th CONGRESS
 1st Session
 S. 2153

To promote competition and reduce gatekeeper power in the app economy, 
 increase choice, improve quality, and reduce costs for consumers.

_______________________________________________________________________

 IN THE SENATE OF THE UNITED STATES

 June 24, 2025

 Mrs. Blackburn (for herself, Mr. Blumenthal, Mr. Lee, Ms. Klobuchar, 
and Mr. Durbin) introduced the following bill; which was read twice and 
 referred to the Committee on the Judiciary

_______________________________________________________________________

 A BILL

To promote competition and reduce gatekeeper power in the app economy, 
 increase choice, improve quality, and reduce costs for consumers.

 Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

 This Act may be cited as the ``Open App Markets Act''.

SEC. 2. DEFINITIONS.

 In this Act:

    (1) App.--The term ``app'' means a software application or 
 electronic service that may be run or directed by a user on a 
 computer, a mobile device, or any other general purpose 
 consumer computing device.

    (2) App store.--The term ``app store'' means a publicly 
 available website, software application, or other electronic 
 service that distributes apps from third-party developers to 
 users of a computer, a mobile device, or any other general 
 purpose consumer computing device.

    (3) Covered company.--The term ``covered company'' means 
 any person that owns or controls--
        (A) an app store for which users in the United 
 States exceed 50,000,000 on a monthly basis (inclusive 
 of support functions associated with the app store such 
 as updates to apps); and
        (B) the operating system or operating system 
 configuration on which the app store described in 
 subparagraph
        (A) operates.

    (4) Developer.--The term ``developer'' means a person that 
 owns or controls an app or an app store.

    (5) In-app payment system.--The term ``in-app payment 
 system'' means an application, service, or user interface to 
 manage billing or process the payments from users of an app.

    (6) Nonpublic business information.--The term ``nonpublic 
 business information'' means nonpublic data that is--
        (A) derived from a developer or an app or app store 
 owned or controlled by a developer, including 
 interactions between users and the app or app store of 
 the developer; and
        (B) collected by a covered company in the course of 
 operating an app store or providing an operating 
 system.

SEC. 3. PROTECTING A COMPETITIVE APP MARKET.

    (a) Exclusivity and Tying.--A covered company shall not--

    (1) require developers to use or enable an in-app payment 
 system owned or controlled by the covered company or any of its 
 business partners as a condition of the distribution of an app 
 on an app store or being accessible on an operating system;

    (2) require as a term of distribution on an app store that 
 pricing terms or conditions of sale be equal to or more 
 favorable on its app store than the terms or conditions under 
 another app store; or

    (3) take punitive action or otherwise impose less favorable 
 terms and conditions against a developer--
        (A) for using or offering different pricing terms 
 or conditions of sale through another in-app payment 
 system or on another app store; or
        (B) on the basis that an app provides access to 
 other third-party apps or games through remote 
 electronic services rather than through download from 
 an app store.

    (b) Interference With Legitimate Business Communications.--A 
covered company shall not impose restrictions on communications of 
developers with the users of an app of the developer through the app or 
direct outreach to a user concerning legitimate business offers, such 
as pricing terms and product or service offerings. Nothing in this 
subsection shall prohibit a covered company from requiring that an app 
acquire user consent prior to the collection and sharing of the data of 
the user by an app.
            (c) Nonpublic Business Information.--A covered company shall not 
use nonpublic business information derived from a third-party app for 
the purpose of competing with that app.
            (d) Interoperability.--A covered company that controls the 
operating system or operating system configuration on which its app 
store operates shall allow and provide readily accessible means for 
users of that operating system to--

    (1) choose third-party apps or app stores as defaults;

    (2) install third-party apps or app stores through means 
 other than its app store; and

    (3) hide or delete apps or app stores provided or 
 preinstalled by the covered company or any of its business 
 partners.

    (e) Self-Preferencing in Search.--

    (1) In general.--A covered company shall not provide 
 unequal treatment of apps in an app store through ranking 
 schemes, user interface features, or algorithms that 
 unreasonably preference or rank the apps of the covered company 
 or any of its business partners over those of other apps in 
 organic search results.

    (2) Considerations.--Unreasonably preferencing does not 
 include clearly disclosed advertising.

    (f) Open App Development.--

    (1) Access.--A covered company shall provide access to 
 operating system interfaces and hardware and software features 
 to developers that are generally available to the public.

    (2) Documentation.--A covered company shall provide 
 documentation and development information sufficient to access 
 such interfaces and features.

    (3) Timely and equivalent basis.--A covered company shall 
 provide the access and documentation under this subsection on a 
 reasonably timely basis and on terms that are equivalent to the 
 terms for access by the covered company or to its business 
 partners.

SEC. 4. PROTECTING THE SECURITY AND PRIVACY OF USERS.

    (a) In General.--

    (1) No violation.--Subject to section

    (b) , a covered 
 company shall not be in violation of 

section 3 for an action 
 that is--
        (A) necessary to achieve user privacy or security;
        (B) taken to prevent spam or fraud;
            (C) necessary to prevent unlawful infringement of 
 preexisting intellectual property; or
            (D) taken to prevent a violation of, or comply 
 with, Federal or State law.

    (2) Privacy and security protections.--In paragraph

    (1) , 
 the term ``necessary to achieve user privacy or security'' 
 includes--
        (A) allowing an end user to opt in, and providing 
 information regarding the reasonable risks, prior to 
 enabling installation of the third-party apps or app 
 stores;
        (B) removing malicious or fraudulent apps or app 
 stores from an end user device;
            (C) providing an end user with the means to verify 
 the authenticity and origin of third-party apps or app 
 stores; and
            (D) providing an end user with the option to limit 
 access to the user's device or device features, or 
 limit the collection and sharing of the data of the 
 user with third-party apps or app stores.

    (b) Requirements.--

    (1) In general.--Subsection

    (a) shall only apply if the 
 covered company establishes by a preponderance of the evidence 
 that the action described in that subsection is--
        (A) applied on a demonstrably consistent basis to--
            (i) apps of the covered company or its 
 business partners; and
            (ii) other apps; and
        (B) narrowly tailored and could not be achieved 
 through a less discriminatory and technically possible 
 means.

    (2) Certification.--The principal executive officer or 
 officers of the covered company, or persons performing similar 
 functions shall submit to the court a certification made under 
 penalty of perjury in accordance with 

section 1746 of title 28, 
 United States Code, that the action described in subsection

    (a) is not used as a pretext to exclude, or impose unnecessary or 
 discriminatory terms on, third-party apps, in-app payment 
 systems, or alternative app stores.

SEC. 5. ENFORCEMENT.

    (a) Enforcement.--

    (1) In general.--The Federal Trade Commission, the Attorney 
 General, and any attorney general of a State subject to the 
 requirements in paragraph

    (3) shall enforce this Act in the 
 same manner, by the same means, and with the same jurisdiction, 
 powers, and duties as though all applicable terms and 
 provisions of the Federal Trade Commission Act (15 U.S.C. 41 et 
 seq.), the Sherman Act (15 U.S.C. 1 et seq.), the Clayton Act 
 (15 U.S.C. 12 et seq.), and the Antitrust Civil Process Act (15 
 U.S.C. 1311 et seq.), as appropriate, were incorporated into 
 and made a part of this Act.

    (2) Federal trade commission independent litigation 
 authority.--If the Federal Trade Commission has reason to 
 believe that a covered company violated this Act, the Federal 
 Trade Commission may commence a civil action, in its own name 
 by any of its attorneys designated by it for such purpose, to 
 recover a civil penalty and seek other appropriate relief in a 
 district court of the United States against the covered 
 company.

    (3) Parens patriae.--Any attorney general of a State may 
 bring a civil action in the name of such State for a violation 
 of this Act as parens patriae on behalf of natural persons 
 residing in such State, in any district court of the United 
 States having jurisdiction of the defendant, and may secure any 
 form of relief provided for in this section.

    (b) Suits by Developers Injured.--

    (1) In general.--Except as provided in paragraph

    (3) , any 
 developer injured by reason of anything forbidden in this Act 
 may sue therefor in any district court of the United States in 
 the district in which the defendant resides or is found or has 
 an agent, without respect to the amount in controversy, and 
 shall recover threefold the damages by the developer sustained 
 and the cost of suit, including a reasonable attorney's fee. 
 The court may award under this paragraph, pursuant to a motion 
 by such developer promptly made, simple interest on actual 
 damages for the period beginning on the date of service of the 
 pleading of the developer setting forth a claim under this Act 
 and ending on the date of judgment, or for any shorter period 
 therein, if the court finds that the award of such interest for 
 such period is just in the circumstances. In determining 
 whether an award of interest under this paragraph for any 
 period is just in the circumstances, the court shall consider 
 only--
        (A) whether the developer or the opposing party, or 
 either party's representative, made motions or asserted 
 claims or defenses so lacking in merit as to show that 
 such party or representative acted intentionally for 
 delay or otherwise acted in bad faith;
        (B) whether, in the course of the action involved, 
 the developer or the opposing party, or either party's 
 representative, violated any applicable rule, statute, 
 or court order providing for sanctions for dilatory 
 behavior or otherwise providing for expeditious 
 proceedings; and
            (C) whether the developer or the opposing party, or 
 either party's representative, engaged in conduct 
 primarily for the purpose of delaying the litigation or 
 increasing the cost thereof.

    (2) Injunctive relief.--Except as provided in paragraph

    (3) , any developer shall be entitled to sue for and have 
 injunctive relief, in any court of the United States having 
 jurisdiction over the parties, against threatened loss or 
 damage by a violation of this Act, when and under the same 
 conditions and principles as injunctive relief against 
 threatened conduct that will cause loss or damage is granted by 
 courts of equity, under the rules governing such proceedings, 
 and upon the execution of proper bond against damages for an 
 injunction improvidently granted and a showing that the danger 
 of irreparable loss or damage is immediate, a preliminary 
 injunction may issue. In any action under this paragraph in 
 which the plaintiff substantially prevails, the court shall 
 award the cost of suit, including a reasonable attorney's fee, 
 to such plaintiff.

    (3) Foreign state-owned enterprises.--A developer of an app 
 that is owned by, or under the control of, a foreign state may 
 not bring an action under this subsection.

SEC. 6. REPORTING.

 Not later than 3 years after the date of enactment of this Act, the 
Federal Trade Commission, the Comptroller General of the United States, 
and the Antitrust Division of the Department of Justice shall each 
separately review and provide an in-depth analysis of the impact of 
this Act on competition, innovation, barriers to entry, and 
concentrations of market power or market share after the date of 
enactment of this Act.

SEC. 7. RULE OF CONSTRUCTION.

 Nothing in this Act may be construed--

    (1) to limit--
        (A) any authority of the Attorney General or the 
 Federal Trade Commission under the antitrust laws (as 
 defined in the first section of the Clayton Act (15 
 U.S.C. 12)), the Federal Trade Commission Act (15 
 U.S.C. 41 et seq.), or any other provision of law; or
        (B) the application of any law;

    (2) to require--
        (A) a covered company to provide service under a 
 hardware or software warranty for damage caused by 
 third-party apps or app stores installed through means 
 other than the app store of the covered company; or
        (B) customer service for the installation or 
 operation of third-party apps or app stores described 
 in subparagraph
        (A) ;

    (3) to prevent an action taken by a covered company that is 
 reasonably tailored to protect the rights of third parties 
 under 

section 106, 1101, 1201, or 1401 of title 17, United 
 States Code, or rights actionable under sections 32 or 43 of 
 the Act entitled ``An Act to provide for the registration and 
 protection of trademarks used in commerce, to carry out the 
 provisions of certain international conventions, and for other 
 purposes'', approved July 5, 1946 (commonly known as the 
 ``Lanham Act'' or the ``Trademark Act of 1946'') (15 U.S.C. 
 1114, 1125), or corollary State law;

    (4) to require a covered company to license any 
 intellectual property, including any trade secrets, owned by or 
 licensed to the covered company;

    (5) to prevent a covered company from asserting preexisting 
 rights of the covered company under intellectual property law 
 to prevent the unlawful use of any intellectual property owned 
 by or duly licensed to the covered company; or

    (6) to require a covered company to interoperate or share 
 data with any person or business user that--
        (A) is on any list maintained by the Federal 
 Government by which entities are identified as limited 
 or prohibited from engaging in economic transactions as 
 part of United States sanctions or export control 
 regimes;
        (B) is a foreign entity that has been identified by 
 the Federal Government as a national security, 
 intelligence, or law enforcement risk, including the 
 Government of the People's Republic of China or the 
 government of a foreign adversary (as defined in 
 

section 8
            (c) of the Secure and Trusted Communications 
 Networks Act of 2019 (473 U.S.C. 1607
            (c) )); or
            (C) is engaged in illegal or fraudulent activity.

SEC. 8. SEVERABILITY.

 If any provision of this Act, or the application of such a 
provision to any person or circumstance, is held to be 
unconstitutional, the remaining provisions of this Act, and the 
application of such provisions to any person or circumstance shall not 
be affected thereby.

SEC. 9. EFFECTIVE DATE.

 This Act shall take effect on the date that is 180 days after the 
date of enactment of this Act.
 <all>