Apple will let media apps avoid 30% fee after global probe

Apple Inc. will allow developers of certain apps to link their software to external websites for payment by users, addressing a longstanding App Store complaint and settling an investigation by Japan’s Fair Trade Commission.

California-based technology giant Cupertino said the change will be rolled out early next year for so-called reader apps spanning magazines, newspapers, books, audio, music and video on a global scale. to date, Apple To date such apps are forced to use its in-app purchase system, which gives Apple up to 30% commission on downloads and in-app subscriptions. By pointing users to the web to sign up, the makers of those apps can remove that fee.

The announcement comes as part of a deal with Japan’s regulator, which is now closing its investigation into the App Store. “We have great respect for the Japan Fair Trade Commission and appreciate the work we have done together to help the developers of Reader Apps set up their apps and services for users while protecting their privacy and maintaining their privacy. Makes it easy to set up and manage trust,” Phil Schiller, who oversees Apple’s App Store, said in a statement.

Developers like Netflix Inc. and Spotify Technology SA have long complained that Apple doesn’t allow users to link to its website to sign up for their services. Apple has previously rejected or removed third-party apps that try to take users to their websites so they don’t have to pay commissions. Importantly, games, the most lucrative category of mobile apps, do not fall under this classification, and by Apple’s decision, Epic Games Inc. Its legal dispute over in-app purchases in the global hit Fortnite will not be resolved. The judge overseeing the trial between Apple and Epic suggested that Apple make a similar change.

Apple said, “Since the developers of the Reader apps do not offer in-app digital goods and services for purchase, Apple has agreed with the JFTC to help the developers of these apps share a link on their website.” so that users can set up and manage their accounts.” in the statement. Apple itself isn’t allowing alternative payment systems within apps, saying it will “help developers of reader apps protect users when they link them to an external website to make purchases.”

Last month, as part of a preliminary settlement of a class-action lawsuit with US App Store developers, Apple loosened its rules allowing software makers to advertise external payment methods to consumers via email. Many developers have been demanding these changes for years and lawmakers globally are also increasing their scrutiny.

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