Article Image
read

One of the biggest announcement as Apple is forced to complied with Digital Markets Act (DMA) in the EU.

I have never like Apple’s draconian restrictions so this is nice a tiny step forward.

The changes can seem daunting, with many paragraphs of unnecessary bragging.

One decision developers must make is:

choose to adopt these new business terms for EU, or stay on Apple’s existing terms

The new business terms includes a new fee structure.

New Fee Structure

  • Reduced commission of 10% (for most dev)
  • Use Apple payment for 3% fee
  • Core Technology Fee (CTF) of €0.50 for each first annual install per year in excess of 1 million downloads (including auto updates)

Under the new business terms for EU apps, Apple estimates that more than 99% of developers would reduce or maintain the fees they owe to Apple.

You have to generate your reports for EU and estimate with Apple’s Fee calculator.

It sure looks like it’s cheaper for small businesses.

However, if you have lots of downloads, even if it is a free app, you will have to think twice. For every 200K downloads in excess of 1M (ie 1.2M downloads), you will have to pay Apple $9,058!

To fairly compensate Apple for the ongoing investments… Apple designed the CTF to only impact a small fraction of developers… less than 1% of developers would pay a CTF

It’s possible to be that 1%, given that there are 37M developers.

Developers who adopt the new business terms at any time will not be able to switch back to Apple’s existing business terms for their EU apps.

So, better NOT accept the new terms. No turning back when your app goes viral.


Other details:

Notarization for iOS apps

A baseline review of apps, with combination of automated checks and a basic human review with a much lower bar.

Basically checks for malicious content like malware, function as promised, and basic privacy and security risks or fraud.

Alternative Payment Service Providers (PSPs)

You can use Stripe, Paypal etc, or link out to your website. However,

you may not offer both In-App Purchase and alternative PSPs… will be responsible for paying a commission to Apple on the sale of digital goods and services on the App Store


Image

@samwize

¯\_(ツ)_/¯

Back to Home