Apple simplifies EU app distribution fees and marketplace entry rules
Apple has revised its European Union App Store business terms, replacing the per-install Core Technology Fee with a flat 5% commission on transactions involving apps distributed outside the App Store. The new charge applies to apps distributed through alternative app marketplaces or on the web, as Apple seeks to address its continuing dispute with the European Commission over compliance with the Digital Markets Act.
The company also changed the rates attached to payments. Apple’s own in-app purchases will carry a 26% fee under the new EU terms, compared with 30% under its traditional terms. Developers in programmes including the App Store Small Business Program, Mini Apps Partner Program and Video Partner Program, as well as apps with auto-renewing subscriptions after their first year, can still qualify for a 15% rate.
New rates for external payments
Apps that use alternative payment processing will pay a 20% commission. That rate falls to 10% for developers participating in the specified programmes. Developers must remain with their chosen payment arrangement for 12 months, whether they use Apple in-app purchases, external payments, or a combination of both.
Apple has also retained limits around external links in apps. Apps in the Kids category cannot use those links for safety reasons, and users under 18 must obtain parental approval before purchases made outside the App Store.
Alternative marketplaces face revised eligibility tests
Apple has loosened the route for developers seeking to run alternative app stores in the EU. Its former requirement for an operator to demonstrate substantial financial backing or to have spent at least two years in the Apple Developer Program with more than 1 million first annual installs in the EU has been removed.
Instead, prospective marketplace operators can demonstrate financial backing through public-company status, financial audits, qualifying venture-capital funding and other routes. The move follows Apple App Store commission changes court dispute and changes the practical threshold for businesses considering their own iOS distribution channel.
Why the revision matters
Apple adjusted its EU fees last year after regulators fined it €500 million for noncompliance with the DMA and threatened further penalties. That prior structure combined an initial acquisition fee, store-services fees and service tiers, drawing criticism for complexity.
For developers, the revision shifts the calculation from an installation-based fee to transaction commissions for external distribution. Businesses planning EU distribution or payment changes should compare expected transaction volumes, programme eligibility, parental-approval requirements and the 12-month payment-choice commitment before selecting a model.