• by Mark Walsh  @markfwal, September 9, 2010

Bowing to criticism over its tight control of iPhone applications, Apple Thursday said it was easing restrictions on third-party development tools and issued a new set of guidelines the company will use for vetting apps.

Apple's about-face on the use of outside software in apps could open the door to programming languages that had been blocked from its iOS platform including Adobe's Flash, the technology powering most online video that Apple has campaigned against as unreliable and bug-prone.

Updated developer rules released by Apple last spring stipulated that programmers could not use technology from other companies to create apps, effectively blocking the porting of apps built with Flash, Sun's Java, or Microsoft's Silverlight.

That move followed Adobe's announcement that the latest version of its Creative Suite would include an app allowing developers to easily adapt their applications to the iPhone from Flash. Adobe subsequently abandoned further development of the Flash-porting tool after Apple changed its developer rules.

But reports at the time from Bloomberg and The Wall Street Journal indicated that the Federal Trade Commission and the Justice Department were looking into Apple's ban of Flash and other technologies after a complaint was filed by Adobe. Whether the threat of a looming antitrust investigation played a role in Apple's decision to loosen developer rules isn't clear.

For its part, Apple said in a brief statement Thursday that it had listened to developers "and taken much of their feedback to heart." Apple said it was relaxing all limitations on development tools used to create iOS apps, "as long as the resulting apps do not download any code."

The company for the first time also published rules for submitting apps to the iTunes App Store in an effort to make the review process more transparent. Developers have long complained the approval process for apps is opaque and arbitrary, while Apple has countered that 95% of titles submitted end up being cleared.

With its new app guidelines, Apple has tried to take a somewhat humorous, if straight-talking, tone. "We don't need anymore fart apps," the company warns in the introduction. When it comes to stickier matters like sex and religion, where Apple has been accused of censorship regarding apps, the company had this to say:

"We view Apps no different than books or songs, which we do not curate. If you want to criticize a religion, write a book. If you want to describe sex, write a book or a song, or create a medical app. It can get complicated, but we have decided to not allow certain kinds of content in the App Store."

How are developers supposed to know when they've gone over the line? The guidelines cite Supreme Court Justice Potter Stewart's famous definition of pornography in explaining the criteria: "I know it when I see it." Applying that subjective standard may not be enough to clear up the confusion around more risqué apps, however.

When it comes to advertising in apps, Apple said it will reject apps that artificially inflate the number of impressions or click-throughs of ads. The company also reiterated its position that apps designed primarily to display ads will be rejected, as will apps that contain empty iAd banners.

In addition to its banning of Flash, Apple earlier this year had also rankled developers with a provision in its updated software development kit that would effectively block third-party ad networks from serving ads on iPhone, iPad or iPod devices. But Apple had not attempted to enforce any requirement that would make its iAd platform the exclusive vehicle for in-app advertising, and the new changes indicate it will keep apps open to outside ad companies. 

The rollout of iAd has reportedly gotten off to a slow start because of campaigns delayed by Apple's close control of the creative process. In addition to any pressure Apple may have felt from federal regulators in adopting a more open approach to apps, there is also growing competition from Google's Android platform. Research reports showed that Android-powered phones outsold the iPhone in the second quarter for the first time and the Android Market now has more than 70,000 titles. That's still not close to the 250,00 the App Store boasts, but it's a critical mass and Google isn't nearly as restrictive as Apple when it comes to submissions.

Apple's iAd system also competes directly with Google's AdMob mobile ad network. In a statement issued Thursday, Google applauded Apple's step to keep the iPhone open to other mobile ad players. "This is great news for everyone in the mobile community, as we believe that a competitive environment is the best way to drive innovation and growth in mobile advertising," wrote Omar Hamoui, vice president for product development, on Google's Mobile Ad blog.

As of May 2010, when AdMob issued its final mobile metrics report, Apple devices accounted for 40% of the ad impressions on its network across the mobile Web and apps, compared to 26% for Android phones.