Apple on Thursday revised its App Store rules and fees in the European Union, following an order from the bloc’s antitrust regulators to eliminate restrictions preventing developers from directing users outside the store.
Apple said developers will pay a 20% processing fee for purchases made via the App Store, though the fees could go as low as 13% for Apple’s small-business programme.
Developers who send customers outside the App Store for payment will pay a minimum fee of 5% and at most 15%. Developers will also be able to use as many links as they wish to send users to outside forms of payment.
Tackling Daily Fines
The changes are aimed at trying to help Apple avoid paying daily fines of 5% of its average daily worldwide revenue, or about 50 million euros ($58 million) per day after being given 60 days to show it was in compliance with the bloc’s Digital Markets Act. Apple has already paid 500 million euro ($580 million) fine levied by EU antitrust regulators in April.
“The European Commission is requiring Apple to make a series of additional changes to the App Store. We disagree with this outcome and plan to appeal,” Apple said in a statement.
EU To Review Changes
In a statement, the European Commission said it will now review Apple’s changes for compliance with the Digital Markets Act.
“As part of this assessment the Commission considers it particularly important to obtain the views of market operators and interested third parties before deciding on next steps,” the Commission said in a statement.
In a statement posted on social media site X, Tim Sweeney, CEO of Epic Games, which fought a protracted antitrust lawsuit with Apple, called Apple’s changes “a mockery of fair competition in digital markets. Apps with competing payments are not only taxed but commercially crippled in the App Store”.
Apple did not immediately respond to a request for comment on Sweeney’s remarks.
(1 euro = $1.17 US Dollar)
(With inputs from Reuters)
