Apple will allow developers in the European Union to offer iPhone apps for direct download from their own websites, a departure from its previous policy of funneling all iOS developer revenue through its App Store. This change is in response to new regulations in the EU, which aim to level the competitive playing field for business users and protect consumers from Big Tech dominance. The new rules include a "core technology fee" for developers opting to distribute iOS apps directly, which may impact their choice between web distribution and the established App Store option. It remains to be seen how many developers will take advantage of this new capability, as it is just starting to be made available alongside the existing App Store distribution.
Key Takeaways
- Apple is allowing web distribution for iOS apps targeting users in the European Union.
- The change is a result of new regulations aimed at leveling the competitive playing field for platforms' business users and protecting consumers from Big Tech.
- Developers opting for web distribution must meet new EU business terms, which include a "core technology fee" charged at €0.50 for each first annual install over 1 million.
- The company emphasizes safety and security standards, requiring all apps distributed from the web to be notarized to protect platform integrity.
- Apple's approach to several elements of DMA compliance is under investigation by the European Commission, including rules on steering in the App Store and the new iOS fee structure.
Analysis
Apple's decision to allow developers in the European Union to offer iPhone apps for direct download from their own websites is a response to new EU regulations aimed at leveling the competitive playing field for businesses and protecting consumers from Big Tech dominance. This change will impact developers' choice between web distribution and the established App Store option, as they now face a "core technology fee" for web distribution. Short-term consequences may include potential shifts in revenue streams for developers, while long-term impacts could involve changes in the dynamics of the app distribution market. Additionally, the European Commission's investigation into Apple's approach to DMA compliance could further shape the future development of this situation.
Did You Know?
- "Core technology fee": This refers to a charge of €0.50 for each first annual install over 1 million for developers who choose to distribute their iOS apps directly through their own websites. This fee is part of the new EU business terms and may impact developers' decisions between web distribution and the established App Store option.
- Notarization for app distribution: Apple requires all apps distributed from the web to be notarized to protect platform integrity. Notarization is a process that confirms the legitimacy of the app and helps ensure safety and security standards for users.
- Investigation by the European Commission: Apple's approach to several elements of DMA (Digital Markets Act) compliance, including rules on steering in the App Store and the new iOS fee structure, is under investigation by the European Commission. This indicates potential scrutiny on Apple's practices and policies within the EU market.