Recently, Apple was brought under a class-action lawsuit from a small group of App Store app developers by making too much commission. After that, Apple decided to change some terms of services on the App Store app. While the problem is still being considered by the court, to settle the situation, Apple has paid 85 million euros (equivalent to about 100 million dollars) to these developers as an agreement between the two parties.
Specifically, Apple said of its decision last Thursday that its change is part of a better way for developers to turn the App Store into a great business opportunity. This change means that developers can tell their customers how to pay for apps, and Apple won’t make any profit from cutting off a portion of developers’ revenue.
Apple has decided to change some rules on the App Store that are supposed to be “exclusive” by EU competition commissioner Margarethe Vestager. However, before these changes take effect, they must be approved by the court.
From the Apple side, the company’s director Phil Schiller has said that the basic App Store has always been a great opportunity for iOS app developers from the beginning.
Going deeper into these changes, Apple says that app developers can notify their customers via email that they can pay for a subscription directly on their website without purchasing via Apple anymore. This means that Apple will not get any profit.
Therefore, this could be a long-cherished Apple effort to turn the App Store into a better business marketplace for developers, as well as their customers, giving the market itself a better experience for all users. Accordingly, Apple also stated that: “The updates constitute the latest chapter of Apple’s long-standing efforts to evolve the App Store into an even better marketplace for users and developers alike”.
With this movement, Apple intends to set up a small publishing fund for small app developers in the United States to be able to publish their apps. Just before that, the App Store forfeited sales have now dropped to a little over 15%. Apple hopes this will ease a little burden on small app developers.
However, Apple is also the side that is under great pressure. The most recent lawsuit is from Epic Games and is pending in court. There are also Fortnite and some other developers. They both allege that Apple is making too high a commission and forcing their users to pay through the App Store.
Anyway, the matter will soon be decided by the court and a solution will be found useful to all parties.
