- Apple announced changes to its business terms for apps in the EU.
- Developers can sign the new terms today, and changes will go into effect on October 1.
- Under this new model, Apple will charge a commission on the sale of digital goods and services.
- The Core Technology Fee, a per-install fee for developers that achieve extraordinary scale, will be replaced by the Core Technology Commission, a simple 5 percent commission on digital transactions in apps distributed outside the App Store.
- For App Store apps using Apple In-App Purchase, the commission will be 26 percent.
- For the vast majority of developers, including those in the App Store Small Business Program, Mini Apps Partner Program, or Video Partner Program, and for auto-renewing subscriptions after their first year, it will be 15 percent.
- For App Store apps using alternative payment processing, the commission will be 20 percent.
- For App Store apps that link out of the app to complete purchases, the commission will be 15 percent.
- For apps distributed via alternative app marketplaces or the web, Apple will charge a 5 percent Core Technology Commission.
- Under the updated terms, developers can now offer Apple In-App Purchase alongside alternative payment options, which had not previously been permitted in the EU.
- To provide consistency and clarity for users, developers distributing apps in the EU will select their payment options — Apple In-App Purchase, alternative payment processing in their app, linking out to the web, or a combination — and must maintain those options for 12 months.
- Apple has worked with the Commission to implement child safety measures for alternative payments similar to those already in place in other markets.
- Apps in the Kids category on the App Store will not include links to websites to complete transactions, to reduce the risk of fraud or scams targeting children.
- For users under 18 years old, all apps from the App Store that use alternative payment processing or link out to a website for transactions must include a parental gate that requires younger users to involve their parent or guardian before making a purchase.
- Apple is also expanding who is eligible to operate an alternative app marketplace or distribute apps via the web in the EU.
Apple's new commission structure for app developers in the EU, effective October 1, aims to enhance flexibility and reduce fees. Developers can now choose between Apple In-App Purchase and alternative payment options, with commissions ranging from 5 percent to 26 percent depending on the payment method.
Under the updated terms, App Store apps using Apple In-App Purchase will incur a 26 percent commission, while most developers, including those in the App Store Small Business Program, will pay 15 percent for auto-renewing subscriptions after the first year. Apps utilizing alternative payment processing will face a 20 percent commission, and those linking out to complete purchases will also be charged 15 percent.10
Additionally, apps distributed via alternative marketplaces or the web will be subject to a 5 percent Core Technology Commission. Developers must maintain their selected payment options for 12 months to ensure consistency for users. Apple has also introduced child safety measures for alternative payments, including parental gates for users under 18 years old.4
These changes reflect Apple's efforts to comply with EU regulations and enhance user safety while providing developers with more options for monetization.
“Under the new terms, developers can now offer Apple In-App Purchase alongside alternative payment options, which were previously restricted in the EU. The commission rates vary, with a 5 percent fee for apps distributed via alternative marketplaces, while App Store apps using Apple In-App Purchase will incur a 26 percent commission.”
