Apple announced further adjustments to its App Store rules in the EU on Thursday to avoid potential billion-dollar fines under the new, stringent legislation aimed at curbing the power of large tech companies.
These changes, which are to be implemented in the fall with a software update, mark the fourth time that the iPhone manufacturer has adjusted its terms of service in the EU to comply with the requirements of the Digital Markets Act (DMA). The DMA forces Apple to open the iPhone to alternative app stores and payment systems.
The announced measures include a new fee structure as well as relaxed rules that allow developers to more easily display links to external purchase options within their apps. These adjustments are intended to enable developers to direct users more directly to their own websites, where purchases may be more profitable for developers and cheaper for consumers, as the usual Apple app store fees do not apply.
A spokesperson for the European Commission confirmed that the changes made by Apple have been noted and that they will be assessed in terms of compliance with the DMA and feedback from the market, particularly from developers.
Spotify, a long-time critic of Apple's App Store policy, called the changes "deliberately confusing" and accused Apple of "blatantly ignoring" the requirements of the DMA. The lobby group "Coalition for App Fairness" also criticized the measures, calling them "another brazen attempt by Apple to maintain its market power.
If Apple does not comply with the requirements of the DMA, the company faces high fines of up to 10 percent of its worldwide annual revenue, which could potentially amount to billions for Apple.
An Apple spokesperson explained that the update was developed to address the European Union's preliminary findings from June, in which regulators warned that Apple's business conditions could make it harder for developers to guide users out of the App Store.
In a blog post, Apple announced that the new terms of service would give developers more freedom in creating promotions and offers within their apps. The adjusted fee structure aims to address the EU's concerns that Apple may be charging developers excessive fees for acquiring new customers through the App Store but selling digital goods outside of it.
Apple's "Steering" Conditions Should Apply to All EU Developers, Regardless of Whether They Use Alternative Stores and Payment Options or Stay Within the Apple Ecosystem. Developers Who Continue Using Apple's App Store Are Subject to the Standard Commission Fees of 15 to 30 Percent on Digital Purchases. Critics Accuse Apple of Abusive Control Over Its Ecosystem.
The EU has furthermore opened a separate investigation into Apple's "Core Technology Fee" of 0.50 euros per download of a new app through alternative stores. This fee was not abolished by the recent changes. The EU has not yet concluded its investigation into this matter.
Apple defends its rules with the argument that they ensure a safe and secure platform for users and criticizes the DMA for undermining privacy and security measures.
