Apple CEO Tim Cook speaks at the “Senior China Leadership Conference” held by the National Committee on U.S.-China Relations and the U.S.-China Business Council on the sidelines of Asia-Pacific Economic Cooperation (APEC) Leaders Week in San Francisco, California. Attended the “Partner Event” on November 15, 2023.
Carlos Barria AFP | Getty Images
apple announced a plan to Open iPhone App Store The move puts a rift in the company’s famous “walled garden,” where it controls app distribution on its own devices.
Apple didn’t make this move voluntarily. The changes were required by Europe’s new Digital Markets Act, which requires big tech companies to open their platforms by March of this year.
The new rules could threaten Apple’s lucrative App Store fees, especially for developers like Spotify and Microsoft. use Apple is now subject to new regulations that allow it to avoid the 30% fee it imposes on in-app purchases and release its own competing app store for the iPhone.
But Apple also announced a new pricing structure in Europe that includes an annual fee per install for popular apps that don’t use Apple’s App Store, so many big developers will end up paying the same amount if they use Apple’s App Store. It is increasingly likely that you will end up paying for New feature description.
Apple said Thursday that the new regulations put users at risk of fraud, fraud and abuse, as apps that do not go through the Apple App Store are not vetted for content and may contain malware. He said that It also warned that some new browser apps enabled by DMA that use non-Apple “engines” could negatively impact users’ battery life.
Ordinary developers will be celebrating, after many have been annoyed for years by Apple’s fees and strict app review program, which frequently denies them updates. Regulators around the world have sought to force Apple to open up its platform, but Thursday’s changes are the most drastic yet and a harbinger of what will happen if the U.S. introduces similar regulations. There is a possibility that it will happen.
This change is not a change to how iPhone apps are distributed in the US and is limited to accounts registered in Europe and the EU. The changes will take effect in his March iOS software update.
“Developers will want to learn about new tools and terms available for distributing alternative apps and processing alternative payments, as well as new features for alternative browser engines and contactless payments,” Phil Schiller, head of the Apple App Store, said in a statement. We can do that.”
What has changed is that
Apple says it will allow companies other than Apple to offer app stores in Europe, but under this system they will need to apply to Apple to obtain “approval.”
The new app store will be a “special” iOS app that integrates with Apple software built to be DMA compliant. Apple knows which companies run its app stores, and the company can revoke permissions from other app stores if they’re full of fraud or malware.
For users, this means apps installed from alternative app stores will show up in their settings with details about when and where they were downloaded. When developers upload their apps to Europe, they will be able to choose which app store to distribute them through. Apple “notarizes” apps. This means the company scans the app for malware and other code issues.
For developers such as Spotify and Microsoft who have expressed interest in distributing their apps outside of the European App Store, this rule does not conflict with their stated plans, but Apple’s introduction of This would add hurdles beyond providing installation files for.
Apple also plans to allow app developers to bill users directly. Previously, apps could only charge users for digital goods (such as game coins) through Apple’s billing system, and the amount charged was between 15% and 30% of total sales.
Now, Apple will allow iPhone app developers to capture credit card numbers within their apps, or app developers will be able to choose to link users to a website to collect payment information.
But Apple said Thursday it plans to collect fees and fees from apps even if they process payments on their own or distribute them through alternative app stores. Developers can continue using the current system, but if they choose one of the new features in Europe, Apple will start reducing commission rates in Europe, but will add installation fees for popular apps. Ru.
“Importantly, developers can choose to maintain the same business terms as they currently have if they wish,” Schiller said in a statement.
According to Apple, the new business terms are:
- Under the new terms, iOS apps on the App Store will pay Apple between 10% and 17% of their total digital sales, depending on subscription or app revenue.
- Apps distributed through alternative app stores don’t receive full content reviews like App Store apps, but they don’t have to pay fees to Apple.
- European iOS apps under the new rules can still choose to use Apple’s in-app purchase software for a 3% fee.
- Apple plans to collect an annual fee of 0.5 euros for each first-time app install by more than 1 million users, which will help cover some of Apple’s software development and app distribution costs.
- “Core Technology Fees” apply if the App is downloaded through a third-party app store or Apple’s App Store. Developers can distribute their apps on both the App Store and third-party alternative sites at the same time, and the price includes installation on both. As many as 1 million accounts in Europe can download apps each year before Apple starts charging a fee.
DMA has been active for many years. Spotify, among other companies, lobbied hard for the system starting in 2019. The regime takes effect in March, but other parts of Apple’s business may also come under scrutiny as the European Commission continues to investigate Apple’s business practices. Apple’s iMessage service is interoperable with competitors.
On Thursday, Apple also changed the way it makes its digital wallet technology accessible, allowing competitors to use a variety of underlying web browser technologies.
Earlier this month, the European Commission’s antitrust chief Margrethe Vestager visited Apple CEO Tim Cook in California.she posted on social media They said they discussed Apple’s compliance with the law.
Epic Games CEO Tim Sweeney posted on social media On Thursday, it said Apple’s plan was “another egregious example of bad compliance” and claimed the new terms amounted to “junk fees.” Epic Games sued Apple in the U.S. in 2020 over antitrust laws and similar restrictions on the App Store, and largely lost, with the Supreme Court refusing to hear its appeal earlier this month.
Spotify said Friday that Apple’s changes run counter to the goals of the DMA and asked the regulator to reject the changes.
“Dear European Commissioners, the ball is in your court. You must once and for all reject this blatant disregard for the very principles you have worked so hard to establish.” Spotify mentioned in a blog post.
“We strongly encourage designated gatekeepers to test their proposals with third parties,” a European Commission spokesperson told CNBC.