Apple’s EU Compliance: New Fees Explained

Apple’s New EU Compliance: Fees and Frustrations

• Apple updates EU developer terms, introduces new fees
• Criticism from major app developers like Epic Games and Spotify
• Debate over compliance with the Digital Markets Act

Apple has recently overhauled its terms and policies for app developers within the European Union, purportedly aligning more closely with the EU’s Digital Markets Act. This update allows developers to link to external payment systems and promote alternative platforms, but not without a cost.

New Fee Structures: A Double-Edged Sword

Under the new compliance framework, Apple has introduced a tiered fee system that impacts developers differently based on their enrolment status. For those under the new terms, Apple imposes a 5% acquisition fee on all sales of digital goods and services within the first 12 months post-installation, and a subsequent 10% store services fee on sales within the same period, including re-installs.

Conversely, developers adhering to the existing terms face a heftier penalty for integrating external links, with a 20% fee for a 12-month period post-installation, dropping to 7% for participants of the App Store Small Business Program.

Industry Backlash

The reaction from the app development community has been stark. Tim Sweeney, CEO of Epic Games, voiced his discontent on X, stating:

“Apple continues its malicious compliance by imposing an illegal new 15% junk fee on users migrating to competing stores and monitor commerce on these competing stores.”

Similarly, Spotify issued a statement to TechCrunch, criticising Apple’s approach:

“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.”

Looking Ahead

As the debate heats up, the implications of Apple’s new terms could have significant repercussions for the app ecosystem in the EU. Developers and companies are urging the European Commission to take swift action, ensuring that the DMA’s mandates are enforced rigorously.

For further insights and updates on this developing story, stay tuned to News.Metacade. Join the conversation in our vibrant community by participating in Metacade’s Tournaments and connecting on our Discord server.