Apple Changes App Store Policy in EU After Facing Probe for Breaching Tech Laws

Apple will be introducing two new fees to replace the reduced commission for all digital goods and services sold through the App Store.

Advertisement
By Reuters | Updated: 9 August 2024 12:07 IST
Highlights
  • EU opened a probe on Apple in June
  • Apple has revised its App Store fee structure in the EU
  • This case is first under EU's Digital Markets Act

Apple said developers will now be able to communicate and promote offers that are available anywhere

Apple on Thursday changed its policy in the European Union to allow developers to communicate with their customers outside its App Store after the commission charged the iPhone maker in June for breaching the bloc's tech rules.

The Commission had said that under most of the business terms, Apple allows steering only through "link-outs", meaning that app developers can include a link in their app that redirects the customer to a web page where the customer can conclude a contract.

Apple said developers will now be able to communicate and promote offers that are available anywhere, not just on their own website, from within their app.

However, Apple will introduce two new fees - an initial five percent acquisition fee for new users and a 10 percent store services fee for any sales made by app users on any platform within the 12 months of the app installation.

Advertisement

Currently, Apple charges three types of fees: a core technology fee for the less than one percent of apps, a reduced commission for all digital goods and services sold through the App Store, and an optional fee for the payments and commerce services.

The two new fees will replace the reduced commission for all digital goods and services sold through the App Store.

Advertisement

Spotify, which has been at loggerheads with Apple over in-app links, said it was assessing Apple's proposal.

"At first glance, by demanding as much as a 25 percent fee for basic communication with users, Apple once again blatantly disregards the fundamental requirements of the Digital Markets Act," a Spotify spokesperson said.

Advertisement

The Commission had earlier criticised the fees charged by Apple for facilitating via the App Store the initial acquisition of a new customer by developers, saying they went beyond what was strictly necessary for such remuneration.

"We will assess Apple's eventual changes to the compliance measures, also taking into account any feedback from the market, notably developers," a Commission official said.

The charge against Apple is the first by the Commission under its landmark Digital Markets Act which seeks to rein in the power of Big Tech and DMA violations could result in a fine of as much as 10% of a company's global annual turnover.

© Thomson Reuters 2024

(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)

 

Get your daily dose of tech news, reviews, and insights, in under 80 characters on Gadgets 360 Turbo. Connect with fellow tech lovers on our Forum. Follow us on X, Facebook, WhatsApp, Threads and Google News for instant updates. Catch all the action on our YouTube channel.

Advertisement

Related Stories

Popular Mobile Brands
  1. DJI Osmo 360 II Launched With 8K/60fps Video, 120-Megapixel Photos
  2. iQOO Neo 11 Ultra Will Launch With This Custom MediaTek SoC
  3. This Poco M8 Series Smartphone Will Launch in India Soon
  4. Moto G Max Debuts in India With 120Hz Display, 7,000mAh Batter
  5. Xiaomi Unveils HyperOS 4 With New Glass UI, AI Features, Faster App Loading
  1. iQOO 15, iQOO 15R, iQOO Neo 10 and Redmi Turbo 5 Prices in India Hiked As the RAM Crisis Persists
  2. Google Pixel 11 Pro EPREL Listing Shows Lower Drop Resistance Compared to Other Pixel 11 Siblings
  3. Marvel's Wolverine Will Have 60 FPS Ray Tracing Mode and New Game Plus at Launch, Insomniac Games Confirms
  4. DJI Osmo 360 II Launched With Native 8K 60fps Recording, Replaceable Lenses: Price, Specifications
  5. Google Reportedly Confirms Tensor G6 Chip Is Built on TSMC's 3nm Process, Not 2nm as Rumoured
  6. Poco M8x 5G India Launch Teased, Microsite Reveals Design and Availability Details
  7. Google Gemini 3.7 Flash Launched Globally With Enhanced Capabilitiesfor For Web Development and Software Engineering
  8. Apple Patent Shows How Its Smart Glasses Could Tackle Recording Privacy Concerns
  9. Bitcoin Struggles to Reclaim $64,000 as Thin Liquidity Limits Recovery
  10. Netflix Is Shutting Down Two Game Studios, Including Oxenfree and Unhinged Maker Night School Studio
Download Our Apps
Available in Hindi
© Copyright Red Pixels Ventures Limited 2026. All rights reserved.