Apple announced a simplified commission structure for apps in the European Union designed to resolve its disagreements with the European Commission. It will replace its per-install Core Technology Fee with a flat 5 percent commission on digital goods in apps distributed outside the App Store or on the web, set its in-app purchase fee at 26 percent (with a discounted 15 percent tier for many developers) and make it easier to open alternative app stores.
The changes follow years of back-and-forth between Apple and EU regulators over the fairness and complexity of its terms under the Digital Markets Act (DMA). Apple had previously adjusted its EU fees after being fined 500 million euros for noncompliance, with critics describing the earlier, more complex structure as an example of malicious compliance.
The overhaul is a significant test of how the DMA reshapes the economics of app distribution in Europe, potentially lowering costs for developers and expanding the role of alternative marketplaces. It also signals whether Apple can satisfy regulators while protecting its App Store revenue, with implications for developers and consumers alike.

Apple announced a simplified commission structure for apps in the European Union designed to resolve its disagreements with the European Commission. It will replace its per-install Core Technology Fee with a flat 5 percent commission on digital goods in apps distributed outside the App Store or on the web, set its in-app purchase fee at 26 percent (with a discounted 15 percent tier for many developers) and make it easier to open alternative app stores.

The changes follow years of back-and-forth between Apple and EU regulators over the fairness and complexity of its terms under the Digital Markets Act (DMA). Apple had previously adjusted its EU fees after being fined 500 million euros for noncompliance, with critics describing the earlier, more complex structure as an example of malicious compliance.

The overhaul is a significant test of how the DMA reshapes the economics of app distribution in Europe, potentially lowering costs for developers and expanding the role of alternative marketplaces. It also signals whether Apple can satisfy regulators while protecting its App Store revenue, with implications for developers and consumers alike.

πŸ“° Source: TechCrunch
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