Exciting Breakthrough: Apple Revamps App Store Policy in EU After Commission Probe – Full Details Here | Tech News

Apple Revises EU Policy After Breach Charges

Apple on Thursday updated its European policy, permitting developers to communicate with customers outside the App Store. This change follows the European Commission’s June accusations that Apple was violating the bloc’s tech regulations.

Previously, Apple’s terms allowed developers to use “link-outs” — links that direct users to external websites for completing transactions. Now, developers can promote offers directly within their apps, regardless of location.

However, Apple introduced two new fees: a 5% acquisition fee for new users and a 10% store services fee on sales within 12 months of app installation. These fees will replace the reduced commission currently charged for digital goods and services through the App Store.

Spotify, frequently in conflict with Apple over in-app links, expressed concerns. A Spotify spokesperson critiqued Apple’s new fees as potentially violating the Digital Markets Act, emphasizing the high cost for basic communication with users.

The European Commission had previously criticized Apple’s fees, suggesting they exceed reasonable remuneration for initial customer acquisition. A Commission official stated they would review Apple’s policy changes and consider market feedback, particularly from developers.

This marks the Commission’s first charge against Apple under the Digital Markets Act, aimed at curbing Big Tech’s dominance. Violations could lead to fines up to 10% of a company’s global annual turnover.

First Published: Aug 09 2024 | 12:36 PM IST

Original Story https://www.business-standard.com/technology/tech-news/apple-changes-app-store-policy-in-eu-after-commission-probe-details-here-124080900484_1.html
Category :
Tags: