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Tuesday, April 16, 2024
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Law

Apple Making Changes to App Store in Settlement

  • Apple is making changes to its App Store regulations.
  • The changes follow a settlement with U.S. developers.
Apple/Design: Alex Brooks

Apple has agreed to change some of its App Store practices following a class-action antitrust lawsuit settlement with U.S. developers. 

The tech giant will allow developers to share purchase options with users outside of the iOS app. The changes are a response to Apple’s commission fee that can be as high as 30% on in-app purchases on its App Store. 

Two years ago, app developer Donald Cameron and training company Pure Sweat Basketball sued Apple over its App Store fees, alleging breached antitrust laws.

Though Epic Games v. Apple is separate, it concerns similar territory. 

  • Epic circumvented the fees by redirecting in-app purchases on “Fortnite” to itself through a hotfix. The short-lived method led to “Fortnite” being removed from the App Store and is at the heart of the ongoing dispute. 
  • The game developer also sued Google for removing “Fortnite” from Google Play after Epic challenged the company’s in-app billing requirements, which are similar to Apple’s policies on the App Store.

Now, Apple will establish a $100 million fund for app developers that pocket $1 million or less in a year — 99% of its U.S. developers.

It will also expand the number of price points available to developers for subscriptions, in-app purchases, and paid apps from less than 100 to more than 500.

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