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Apple makes revisions to purchases outside the App Store in the EU

Published Aug 8th, 2024 8:28PM EDT
iPhone 15 Pro showing App Store ahead of iOS 17.4 beta release
Image: José Adorno for BGR

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Today, Apple announced several changes to comply with the EU’s Digital Markets Act. Even though Apple already offers more opportunities for users and developers in the EU, the European Commission still expected more tweaks from Apple, which have now been made.

For the first time, developers can communicate and promote offers for purchases available at a destination of their choice. Apple says the destination can be an “alternative app marketplace, another app, or a website, and it can be accessed outside the app or via a web view that appears in the app.”

Developers can also promote offers inside their app, including information about subscription prices or any other offer available both within and outside the app and explanations or instructions about subscribing to offers outside the application.

Apple also adds these changes in the EU:

  • Developers may choose to use an actionable link that can be tapped, clicked, or scanned to take users to their destination.
  • Developers can use any number of URLs without declaring them in the app’s Info. list.
  • Links with parameters, redirects, and intermediate links to landing pages are permitted.
  • Updated business terms for apps with the External Purchase Link Entitlement are being introduced to align with the changes to these capabilities.

Apple adds new fee structure and commission rates for developers outside and inside the App Store

Apple is also adding a new fee structure for apps that link to a web page and do not use the App Store. First, there’s an “Initial Acquisition Fee,” which is a commission on digital goods and services sales. This fee applies for 12 months after an app is downloaded initially with this outside link.

In addition, there is a “Store Services Fee” that is also a commission on digital goods and services sales. However, it only works if the user keeps engaging with the app within a fixed 12-month period from the date the app was installed, updated, or reinstalled.

It’s important to note that current subscriptions and renewals aren’t subjected to any fee, so these changes are only worth it for newer customers.

Apple has also changed the commission rates. In addition to the Core Technology Fee, Apple will charge 5% for the Initial Acquisition Fee and 10% for the Store Services Fee, although it can be reduced to 5% for members of the App Store Small Business Program or a qualifying renewal of a subscription after one year.

For those in the EU who continue to offer the app inside the App Store, Apple has increased the commission fee rated of associated links. Without the Core Technology Fee, Apple still charges 5% for the Initial Acquisition Fee and 20% for the Store Services Fee. This can be reduced to 7% for members of the App Store Small Business Program or a qualifying subscription renewal after one year.

Wrap up

At the end of the day, it’s all about the developer understanding what can be more beneficial to them. Apple even offers a free calculator to help them understand if they should continue within the App Store or with third-party marketplaces.

These changes will be available later this fall once iOS 18 and the other operating system updates are released.

José Adorno Tech News Reporter

José is a Tech News Reporter at BGR. He has previously covered Apple and iPhone news for 9to5Mac, and was a producer and web editor for Latin America broadcaster TV Globo. He is based out of Brazil.