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Apple relaxes App Store regulations in the European Union

by Milan
August 8, 2024
Apple App Store EU

Image: Apple

Apple's announcement today regarding changes to the App Store marks a significant step towards more freedom for developers in the European Union. These changes, which were introduced as part of the Digital Markets Act (DMA), particularly affect the rules for external linking and the fee structure. Below you will find out what new opportunities this opens up for you as a developer and how the new fees can affect your business model.

Apple is known for its strict App Store policies, which bring both benefits and challenges for developers. However, with the introduction of the Digital Markets Act in the European Union, Apple is forced to relax some of its rules. These changes aim to promote competition and give developers more freedom in communicating with their customers.

External links: More freedom for developers

The most important change Apple announced concerns the ability to use external links in apps. Previously, developers were prohibited from including direct links to external purchasing options or web pages in their apps. With the new rules, you can now insert links to external sources that take customers outside of the app or to a website with a web view available directly in the app. These links allow you to point customers to lower prices outside of the App Store, cheaper subscriptions, or special offers. There are no limits on the number of URLs you can insert, and you have the freedom to use links with additional parameters, redirects, and intermediate links as long as they are not used for ad tracking.

Fee structure: New conditions for developers

With the loosening of the rules for external linking, Apple is also introducing a new fee structure. There are two main fees you need to be aware of:

  • Initial Acquisition Fee: This fee is 5 % and is charged on all sales of digital goods and services made by a customer within 12 months of their first installation of your app. This fee does not apply to transactions made by customers who installed your app prior to the changes.
  • Store Service Fee: This fee varies depending on the terms and conditions you agree to. For the new terms and conditions, the base fee is 10 %, but drops to 5 % for App Store Small Business Program participants and for subscriptions that auto-renew after one year. For the standard terms and conditions, the fee is 20 %, but drops to 7 % under the same conditions.

In addition to the initial acquisition fee and the Store Service Fee, a Core Technology Fee of EUR 0.50 per first annual installation over one million first annual installations applies. A payment processing fee of EUR 3 % applies when you use the App Store payment options.

Impact on Developers

These changes open up new opportunities for you as a developer to increase your revenue and point customers directly to alternative purchasing options. You can now actively point out cheaper offers outside of the App Store, which can be particularly attractive for subscriptions and recurring purchases. At the same time, you must take the new fees into account and incorporate them into your pricing strategy accordingly.

information sheets and user warnings

Another notable change is the information sheets that warn users when they click on a link that leads to external purchasing methods. Customers now have the option to turn off these warnings, which can make the purchasing process more pleasant for them. Apps that link to an in-app web view only need to display the information sheet once per session.

Optimal use of the new regulations in the Apple App Store

Apple's new regulations under the Digital Markets Act offer you as a developer in the European Union more freedom and new opportunities to point your customers directly to alternative purchase options. However, the changes in the fee structure require careful planning and adjustment of your pricing strategy. Use the new freedoms to make your app and your offers even more attractive and at the same time benefit from the advantages of the App Store. You can find more information on the developer website from Apple and on the special page on the Digital Markets Act, which is updated regularly. All announced changes will come into effect with the launch of the new software generation, i.e. iOS 18 and Co. (Image: Apple)

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