Apple, the Cupertino-based tech titan, successfully forestalled an estimated $2 billion in fraudulent transactions on the App Store in 2022, according to a company statement on Wednesday.
Apple affirmed that it “rejected nearly 1.7 million app submissions” last year, which failed to meet the App Store’s stringent standards for privacy, security, and content. The company also announced that it saw a decline in potentially fraudulent developer accounts, from over 802,000 in 2021 to 428,000 in 2022, due to its enhanced monitoring systems and detection protocols.
Highlighting the crucial role of the App Store’s security features in combating fraud, Apple said, “In 2022, that number declined to 428,000 thanks in part to new methods and protocols that allow the App Store to prevent the creation of potentially fraudulent accounts.”
In 2022, Apple’s digital marketplace attracted over 650 million average weekly visitors worldwide. With more than 36 million registered Apple developers, the platform supports over 195 local payment methods and 44 currencies, providing a robust and secure global distribution channel.
Apart from developer accounts, Apple also tackled customer account fraud by rooting out 282 million accounts last year. Additionally, it thwarted nearly 105,000 suspicious enrolments into the Apple Developer Program, thereby preventing potential fraudsters from infiltrating the App Store.
Apple took a firm stance against untrustworthy apps, eliminating approximately 57,000 from unofficial storefronts. The company stated, “These unauthorized marketplaces distribute harmful software that can imitate popular apps or alter them without the consent of their developers.”
Despite facing the increasing sophistication of fraudulent schemes, Apple said it has employed a multi-layered approach, which includes advanced technology, machine learning algorithms, and human expertise, to mitigate threats.
The report comes at a time when Apple is facing a push to allow third-party app stores on iPhones and iPads. The European Union’s recently passed Digital Markets Act, due to come into effect in 2024, mandates Big Tech companies to permit alternative app stores on their platforms. In response, Apple is reportedly preparing to allow alternative app stores on its devices, in line with the upcoming requirements, as part of the release of iOS 17 this year.
In the report, Apple highlighted concerns about sideloading, arguing that it could expose users to security risks. In its press release, the company reiterated, “Unauthorized marketplaces distribute harmful software that can imitate popular apps or alter them without the consent of their developers.”
In addition to enhancing the App Store’s security, the company praised its payment technologies like StoreKit and Apple Pay. Apple said that it blocked nearly 3.9 million stolen credit cards from being used for fraudulent purchases in 2022 and banned 714,000 accounts from making future transactions.
