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Apple and the European Union have had multiple faceoffs in recent years. Lawmakers in the green continent are trying to open the gates of the Apple ecosystem and force the tech firm to bow down to rules such as interoperability rules. Apple already settled with the EU by switching the Lightning port to USB-C on its iPhones. Now, the EU has a similar plan for the App Store. While Apple has already agreed with the EU’s terms for the App Store, an EU official is now threatening the tech firm with strong action if those changes fail.
As you know, the App Store is the only venue for Apple users to get their apps. Apple traditionally didn’t allow for app sideloading and installing apps from third-party stores. However, this is changing thanks to EU lawmakers and the Digital Markets Act (DMA). Reuters reports that the EU asked Apple to let developers distribute their apps via alternative stores. This is similar to what Google and Android have been doing for years.
Apple critics always argued the iPhone maker is violating the DMA by not allowing app sideloading and forcing developers to pay up to 30% commission. Starting in March, Apple app developers can launch their apps via the alternative stores and evade Apple’s in-app payment system. Meanwhile, developers must still submit their apps to Apple for risk analysis and mandatory checks.
The EU threatens Apple with strong action if its demands aren’t met
Despite developers’ freedom to opt out of Apple’s payment system, the company still requires them to pay 50 euro cents per user account per year as a “core technology fee.” Apple said that under the new rules, 99% of developers choose to reduce or maintain the fees they owe to the company.
“The DMA will open the gates of the internet to competition so that digital markets are fair and open. Change is already happening. As from 7 March we will assess companies’ proposals, with the feedback of third parties.” EU industry chief Thierry Breton said. He also noted, “If the proposed solutions are not good enough, we will not hesitate to take strong action.”
Apple has already started to overhaul its iOS, Safari, and App Store to comply with the new regulations in Europe. iOS 17.4 is said to be the first iOS version that allows for app sideloading.
The EU’s DMA rules also let Apple users in the continent choose their favorite default web browsers and contactless payment apps. This means EU iPhone users can soon ditch Apple Pay for their payments and use rival services.