Home Tech Big Tech Teams Up Against Apple’s App Store Fees

Big Tech Teams Up Against Apple’s App Store Fees

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Epic Gets Backup in Fight Against Apple’s Payment System

The battle between Epic Games and Apple over the App Store’s payment system just got more heated. Meta, Microsoft, Match Group, and another company (collectively referred to as “the amici”) have joined forces with Epic in a court filing. They argue that Apple’s proposed solution to comply with a judge’s order doesn’t go far enough.

The Backstory: Judge’s Ruling and Epic’s Objection

In 2021, a California judge ruled that Apple couldn’t prevent app developers from offering alternative payment options within their apps. This decision challenged Apple’s long-standing policy of forcing developers to use its in-app purchase (IAP) system, which charges fees between 15% and 30%. Epic Games, along with other developers, object to these fees, which they consider excessive.

Apple’s Claimed Compliance: A Flawed Solution?

Apple responded by proposing a system where developers could inform users about external payment options through a link. However, the amici argue this solution is cumbersome and impractical. They claim Apple’s proposed fees for using external links (12-27%) are just a minor reduction from the usual IAP fees. This makes the whole process unattractive for developers and potentially confusing for users.

The Impact on Big Tech Companies

The involvement of Meta and Microsoft highlights the broader implications of Apple’s App Store policies. These tech giants, despite their size, are also affected by Apple’s restrictions on external payments. Meta, for instance, claims Apple’s IAP requirements significantly increased their costs for a specific advertising feature within their app.

Apple’s Defense: Protecting Users and the Platform

When approached for comment, Apple pointed to their court filings claiming full compliance with the judge’s order. They argue that unregulated external payment links could harm users, developers, and the overall iOS ecosystem. They believe their proposed measures are necessary to safeguard user privacy, maintain platform integrity, and ensure a smooth app review process.

The Battle Continues: Hearing on April 30th

Apple has the opportunity to respond before a court hearing scheduled for April 30th. This hearing will determine whether the judge agrees with Epic and the amici that Apple’s current solution falls short of the court’s original order. The outcome will have a significant impact on the way developers operate within the iOS app ecosystem.

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