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How are App Developers Reacting to Apple’s New App Store Rules Regarding Third-Party Payment Options?

How are App Developers Reacting to Apple's New App Store Rules Regarding Third-Party Payment Options?

Apple’s App Store Payment Policy: Developers’ Response

Battle Continues: Epic vs. Apple

The legal battle between Epic Games and Apple over the App Store’s payment rules continues. Following Epic’s successful claim against Apple’s anti-steering restrictions, the tech giant has implemented new rules allowing outside payment links in app listings. However, the latest hearing reveals that major US app developers remain hesitant to adopt this option.

No Savings, No Opt-Outs

Apple’s updated policy requires developers to pay a 27% fee for using the App Store platform to facilitate outside payments. However, this fee excludes the cost of using a third-party payment processor, which would likely increase the total cost to developers beyond the 30% commission Apple currently charges. As a result, no major US developers have opted into the new payment option.

Developers’ Dilemma

Developers have expressed concerns that the overall cost of using third-party payment processors would be the same or even higher than Apple’s commission. This has led them to question the value of the new policy, which they argue does not significantly reduce their expenses.

Judge’s Criticism

Judge Yvonne Gonzalez-Rogers, who presided over the original Epic lawsuit, criticized Apple for failing to consider the total cost to developers when revising its payment rules. She expressed skepticism over the company’s claim that the changes would lower prices for app users.

Apple’s Defense

Apple claims it has followed the guidelines set out in Judge Gonzalez-Rogers’ original ruling. However, the judge remains unconvinced, highlighting the lack of data on the impact of the new rules on developer costs.

The Road Ahead

The hearing will resume in May, giving Apple an opportunity to address the court’s concerns. The outcome of this case will have significant implications for the App Store and the future of third-party payment options for app developers.

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