Apple has unveiled significant changes to its app policies in Europe, marking a historic shift that includes allowing third-party app stores on iPhones and iPads for the first time. Responding to upcoming European regulations effective in March, these updates represent some of the most substantial alterations to Apple’s app business since the introduction of its proprietary app store 15 years ago.
These changes mean users can download third-party app stores onto their devices from sources outside Apple’s ecosystem. Apple has also announced a reduction in app store fees, cutting them from 30% to 17% for in-app transactions involving digital goods and services. For developers eligible for certain discount programs, fees will be reduced from 15% to 10%.
The adjustments come in response to pressure from European Union policymakers, addressing accusations of anticompetitive or monopolistic behavior from developers. The move allows app developers to offer alternative payment methods without relying on Apple’s systems, and no commission will be charged for such transactions.
Developers can now explore alternative fee structures, but those opting for new capabilities will face a 0.50 euro fee for each app installation after the first 1 million in a year. Apple emphasizes that less than 1% of EU developers are likely to be affected by this installation-based fee.
Apple’s compliance with the new EU law, known as the Digital Markets Act (DMA), underscores the company’s regional variations in operation compared to other parts of the world. The changes are set to be introduced with Apple’s next iOS update, version 17.4, in March.
