Apple Enforces App Store Rules: Developers Can Link to Outside Payment Methods, But Commission Still Applies

Apple Enforces US App Store Rules: Developers Can Link to Outside Payment Methods, But Commission Still Applies

In the wake of the US Supreme Court’s denial to hear Apple’s appeal in the legal battle with Epic Games, Apple has unveiled significant changes to the App Store Guidelines. These revisions come as a response to the 2021 Apple vs. Epic trial outcome, prompting Apple to relax its anti-steering rules that previously restricted developers from linking to alternative payment systems within their apps.

Relaxation of Anti-Steering Rules

Effective immediately, Apple is updating its App Store guidelines in the United States, mirroring adjustments previously implemented for dating applications in the Netherlands. The primary change allows developers to include links to alternative payment methods, with the condition that the app must also offer purchases through Apple’s own In-App Purchase system.

Developers have the option to apply for an entitlement that permits them to incorporate buttons or links directing users to out-of-app purchasing mechanisms. However, this entitlement is exclusively applicable within the iOS or iPadOS App Store in the United States, prohibiting such features in other storefronts.

Apple Restrictions on Link Placement

Apple specifies that the link to an alternative payment platform can only be displayed on one app page the end user navigates to, in a single, dedicated location on that page, and it must not persist beyond that page. The company has also provided templates for developers to communicate with users about alternative in-app payment systems, emphasizing transparency in pricing.

Commission Charges on Alternative Payment Platforms

Despite the newfound flexibility for developers, Apple will continue to charge a commission on purchases made through alternative payment platforms. For members of the App Store Small Business Program, the commission will be 12%, while other apps will face a 27% commission. This commission applies to purchases made within seven days after a user taps on an External Purchase Link and proceeds to an external website.

Developers are obligated to provide a periodic accounting of qualifying out-of-app purchases, and Apple reserves the right to audit developers’ accounting to ensure compliance with commission obligations. The company can charge interest and offset payments to enforce these obligations.

Enforcement Challenges

Apple acknowledges the practical challenges in enforcing the commission, stating that with hundreds of thousands of developers on the US storefronts for iOS and iPadOS App Stores, collection will be exceedingly difficult and, in many cases, impossible. This recognition underscores the complexities Apple faces in ensuring adherence to the newly revised guidelines.

As both the Court and the Ninth Circuit have acknowledged, this commission collection method will impose additional costs on both Apple and developers. The evolving landscape of App Store regulations continues to be a focal point in the ongoing relationship between Apple and app developers, with these revisions representing a step towards accommodating developer concerns while still maintaining Apple’s revenue streams.

Source: 9to5Mac