Apple to Open iOS to Third-Party App Stores in Brazil: Could India Be Next?

Apple has agreed to allow users in Brazil to download and install third-party app stores on iPhones and iPads starting in 2026, marking a major shift in the company’s tightly controlled iOS ecosystem. The move follows a settlement with Brazil’s competition watchdog and adds to growing global pressure on Apple to loosen its grip over app distribution and in-app payments.

The decision positions Brazil among a small but expanding group of countries that have successfully forced Apple to roll back long-standing policies often criticised as anti-competitive. With regulators in several major markets including India closely observing these developments, the question now is whether similar changes could soon be mandated elsewhere.

What the Brazil Agreement Means

Apple’s decision stems from a Term of Commitment to Termination (TCC) signed with Brazil’s antitrust authority, the Administrative Council for Economic Defense (CADE). Under the agreement, Apple will be required to:

• Allow third-party app stores to operate on iOS devices in Brazil

• Permit developers to use alternative payment systems for in-app purchases

• Ensure that warning messages about third-party app stores or external payments remain neutral and do not discourage user choice

While Apple will still be allowed to collect commissions from developers, the exact fee structure has not yet been made public.

The agreement brings an end to a multi-year legal battle between Apple and Brazilian regulators, who had accused the company of abusing its dominant position in the mobile ecosystem by forcing developers to use its proprietary App Store and payment infrastructure.

Apple’s Long-Standing Defense

Apple has historically resisted opening iOS to third-party app stores, arguing that its tightly controlled ecosystem is essential for maintaining user security, privacy, and device integrity. The company has repeatedly claimed that alternative app stores could increase risks related to malware, fraud, and data misuse.

However, regulators around the world have increasingly challenged this position, arguing that Apple’s restrictions unfairly limit competition and inflate costs for developers and consumers alike.

A Global Trend Toward Regulation

Brazil now joins a growing list of regions that have compelled Apple to adjust its policies. In the European Union, the Digital Markets Act (DMA) has already forced Apple to allow alternative app stores and third-party payment options across EU member states. Similarly, Japan has implemented regulatory changes that limit Apple’s ability to restrict app distribution and payments.

In the United States, Apple has faced sustained legal scrutiny following the landmark Epic Games lawsuit. Although Apple largely prevailed in court, it was still ordered to allow developers to include links to external payment systems , a ruling Apple has repeatedly tried, unsuccessfully, to delay or overturn.

Could India Be Next?

India represents one of Apple’s fastest-growing markets, both in terms of iPhone sales and app economy expansion. Indian regulators have previously investigated Apple’s App Store practices, particularly regarding commissions and preferential treatment of Apple’s own apps.

With Brazil now joining Europe and Japan, regulatory momentum appears to be building globally. Experts suggest that Indian authorities may eventually move in a similar direction, especially as local startups and developers continue to push for fairer access to consumers.

Strategic Implications for Apple

The shift comes at a sensitive time for Apple, which is simultaneously expanding its AI offerings through features like Apple Intelligence, unveiled last year. While these AI tools aim to strengthen Apple’s ecosystem, regulatory pressures threaten to weaken its traditional revenue model built around App Store commissions.

Allowing third-party app stores could reshape how developers monetize their apps, reduce Apple’s control over software distribution, and potentially impact one of its most profitable business segments.

What Comes Next

For now, Apple will begin implementing the required changes in Brazil ahead of the 2026 deadline. Industry watchers will closely monitor how the company adapts its global strategy and whether similar reforms are introduced voluntarily elsewhere or imposed by regulators.

As governments worldwide grow more assertive in curbing Big Tech dominance, Apple’s closed ecosystem may be entering a new era of openness , not by choice, but by necessity.