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Apple faces intense backlash over new app policies, again

The tech giant's move has sparked outrage from companies like Spotify and Epic Games.
By

Published onAugust 9, 2024

Apple AppStore logo
Robert Triggs / Android Authority
TL;DR
  • Apple has loosened its restrictions for app developers in the EU and will allow linkouts to pages other than the app’s own website.
  • This change follows an EU ruling accusing Apple of breaching tech regulations.
  • However, as part of this, Apple will introduce new fees: a 5% acquisition fee for new users and a 10% store services fee for purchases made within 12 months. This move has sparked criticism within the industry.

While Apple aficionados are fervently awaiting news about the possible launch of the iPhone 16 and other new gadgets from the tech giant, it appears that the firm has run into some trouble in the EU. In a significant move, Apple recently loosened its restrictions regarding how app developers in the European Union could interact with users. This follows an EU ruling in June that charged the Cupertino-based tech giant with breaching technology regulations set by the bloc.

According to Reuters, Apple had previously imposed strict rules on app developers, allowing them to include external links only if they redirected users to the developer’s own website. This essentially limited developers’ ability to redirect users to promotional pages, where they could choose to upgrade or make additional purchases.

Going forward, though, app developers can include multiple links and promote offers that are not specifically on their own website through the app. But this flexibility has come with a caveat — Apple will introduce a 5% acquisition fee that will be levied when the app attracts a new user and a 10% store services fee for purchases made by users on the platform within 12 months of installing the app.

At present, Apple charges app developers a core technology fee, a reduced commission fee, and an optional fee for commerce services. The reporting outlet notes that the two new fees will be charged in place of the reduced commission fee. This move on Apple’s part has sparked criticism from players within the industry, including companies like Spotify and Epic Games.

TechCrunch reached out to Spotify for a comment, and the music-streaming firm noted that Apple’s new proposal is confusing. The statement read:

At first glance, by demanding as much as a 25% fee for basic communication with users, Apple once again blatantly disregards the fundamental requirements of the Digital Markets Act (DMA). The European Commission has made it clear that imposing recurring fees on basic elements like pricing and linking is unacceptable. We call on the Commission to expedite its investigation, implement daily fines and enforce the DMA.

Epic Games also called out Apple’s policy changes as unlawful. Only time will tell if the EU will allow Apple to go ahead with its proposed fee and policy changes. However, a Commission official stated, “We will assess Apple’s eventual changes to the compliance measures, also taking into account any feedback from the market, notably developers.” Given this, it appears that the Commission might want further revisions to ensure complete compliance with the Digital Markets Act.

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