Apple’s new compliance with the Digital Markets Act (DMA) that changes the way developers can use external linking within the European Union for their apps and listings has been met with criticism from Epic and Spotify.
The new changes allow developers to direct users to external purchasing options outside of the App Store. This means if you’re in the EU you’ll be able to purchase subscriptions directly from an app provider.
But these changes, which introduce a new ‘StoreKit External Purchase Link Entitlement Addendum’, require developers to use and agree to the ‘StoreKit External Purchase APIs” and means that there’s a 5% initial fee paid for all digital goods and services sales within the first 12-months following the initial install.
Shortly after the new announcements and introduction of the new fee structure, Epic CEO Tim Swinney called the new changes “an illegal new 15% junk fee,” on X. He added, “(it’s) completely uneconomical for developers to distribute their apps through both the Apple App Store and competing iOS app stores.”
In the European Union where the new DMA law opens up app store competition, Apple continues its malicious compliance by imposing an illegal new 15% junk fee on users migrating to competing stores and monitor commerce on these competing stores.https://t.co/YUYwsnrh32 pic.twitter.com/xAWGkOWPrHAugust 8, 2024
Epic and Spotify not too pleased
Spotify weren’t too pleased either, speaking to TechCrunch the company said, “We are currently assessing Apple’s deliberately confusing proposal. At first glance, by demanding as much as a 25% fee for basic communication with users, Apple once again blatantly disregards the fundamental requirements of the Digital Markets Act (DMA). The European Commission has made it clear that imposing recurring fees on basic elements like pricing and linking is unacceptable. We call on the Commission to expedite its investigation, implement daily fines and enforce the DMA.”
This is just another in a long line of disputes between the companies and Apple in relation to the DMA and we don’t appear any closer to reaching a solution that makes everyone involved happy.
Earlier this year, the European Commission inflicted a large $1.95 billion fine on Apple for preventing companies like Spotify from telling users about cheaper subscription fees outside of the App Store. Months later we’re far from a resolution to all of this conflict.