Looking to save oodles of money, Apple awaits major decision from EC
App developers wanted the freedom to send customers to third-party processing platforms
One of the main conditions that developers wanted was the freedom to redirect their customers looking to make a payment for an App Store purchase to a third-party processing platform, bypassing Apple's fees. Under the new fee structure, developers who send customers to a third party to process an App Store transaction will pay a fee between 5% and 15%. There will also be no limits on the number of links developers can send their customers that will take them to a non-Apple processing platform.
Back in April, Apple was fined €500 million ($587 million) for violating the Digital Markets Act (DMA). The latter is the groundbreaking EU legislation designed to keep competition among tech firms fair in the union of 27 European states. After the fine was announced, Apple blamed the issue on technical problems that it said prevented app developers from sending customers to cheaper prices outside of the App Store. As a result, Apple had committed a DMA violation despite the excuses mentioned by the tech giant.
Receive the latest iOS news
Subscribe
By subscribing you agree to our terms and conditions and privacy policy
Should the EU approve the App Store changes?
Yes. The changes are fair to app developers.
No. Apple is still ripping off app developers.
I really don't care either way.
Yes. The changes are fair to app developers.
0%
No. Apple is still ripping off app developers.
0%
I really don't care either way.
0%
Apple appealed the fine this month, but at the same time, it said that the changes to the App Store's processing fees it announced in June were done to prevent the tech giant from getting hit with punitive daily fines. After Apple was fined in April, the EC, charged with enforcing EU law, gave Apple 60 days to comply with the DMA or face daily fines of up to five per cent of its global revenue, which is equivalent to approximately €50 million per day ($58.5 million).
A report published today says that the EC is expected to approve the changes , although it might be several weeks before this approval becomes official and is announced. Meanwhile, the EC said, "All options remain on the table. We are still assessing Apple's proposed changes."
Spotify's CEO Daniel Ek was one of the App Store's loudest critics in the EU
Many iOS app developers protested the fees over the years, which became known as the "Apple Tax." One CEO who might have had the loudest voice complaining about the fees was Spotify founder and CEO Daniel Ek, who filed a complaint with the EC back in 2019. Ek complained that Apple Music had an unfair advantage over Spotify in the EU due to what was then a 30% fee Apple charged to developers for processing in-app subscriptions.
The fight between Apple and Spotify continued even after the DMA was passed. Last year, the music streamer accused Apple of not allowing physical iPhone buttons to control the volume on Spotify Connect . The latter is a feature that allows iOS users to control the playback of music streamed by Spotify across compatible devices while using the Spotify app as a remote.
Other firms fighting back against the Apple Tax included Netflix. In 2018, the video streamer stopped allowing new or re-joining subscribers to open their Netflix accounts via the App Store. In 2024, Netflix stopped allowing grandfathered subscribers to pay their monthly subscription charge through the App Store. Instead, Netflix subscribers had to agree to make direct payments to Netflix to keep their subscriptions. Netflix was trying to eliminate any subscribers who were still making their subscription payments through Apple.
While you can say that the force of legislation and the possibility of huge fines led Apple to make changes to how and how much developers are charged to process App Store purchases and subscriptions, companies like Spotify and Netflix were also instrumental in forcing Apple to make some of the changes they wanted.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
GSM Arena
an hour ago
- GSM Arena
Samsung Galaxy S26 may not launch
Samsung has already been rumored to replace the Galaxy S26 Plus with the thin S26 Edge, following in the footsteps of what Apple is allegedly going to do a few months earlier when it launches the iPhone 17 family in September (there will be no iPhone 17 Plus, instead we're getting the thin iPhone 17 Air). Today a new rumor goes even further, telling us we can actually expect a complete revamp of Samsung's flagship S-series in 2026. This will then comprise the Galaxy S26 Pro, Galaxy S26 Edge, and Galaxy S26 Ultra - no 'vanilla' model either. Samsung Galaxy S25, S25+, and S25 Ultra The information is said to come from evidence found in "an internal One UI 8 build". It's anyone's guess what all of this means, but odds are that the vanilla model will be renamed as Pro, the Plus variant replaced with the Edge as rumored before, and the Ultra stays the Ultra. If all of this pans out, then Samsung could be wanting to reposition its flagship lineup next year to reflect a more premium-focused approach, hence why there's not going to be a 'simple' S26 model. "Pro" implies better specs, but it remains to be seen whether we'll actually get that. The elephant in the room is that Samsung may want to bring a price hike to the base model alongside the renaming, after all a "Pro" phone should be more expensive than a non-Pro, right? We'll have to wait and see if more rumors start 'confirming' this, so hang tight. Source
Phone Arena
2 hours ago
- Phone Arena
iPhone 17 release date: how soon is it coming?
iPhone 17 series. | Image by Majin Bu If you are an Apple fan, you probably already know what time it is. Yep, we are getting closer to that moment of the year again – new iPhones incoming. The iPhone 17 series, including the base iPhone 17 , the new iPhone 17 Air and the iPhone 17 Pro and iPhone 17 Pro Max, is expected to drop this fall. Yep, if Apple sticks to its usual playbook, we already have a pretty good idea of when the big day is coming and if you are wondering exactly when that will be, you are in the right spot. Since the iPhone 7 in 2016, Apple's stuck to early September unveilings almost every year. The only time the Cupertino tech giant broke the rhythm was in 2020, during the height of the pandemic, when the iPhone 12 launch got split into two waves: first came the iPhone 12 and iPhone 12 Pro and a bit later, the iPhone 12 mini and iPhone 12 Pro Max. But aside from that, Apple's timing has been rock solid. So if the iPhone 17 gets unveiled on Sept 9 or 10, preorders would likely go live on Friday – either September 12 or 19, depending on which day the event happens. And if that happens, the phones should start shipping and landing in your hands the following Friday, most likely September 19 or September 26. How the iPhone 17 release compares to previous years To get a better idea of what to expect, I think it helps to look at how Apple has handled iPhone launches in recent years. So, here is a quick comparison to see how the iPhone 17 fits into the usual pattern. *probable dates The Pro models could look quite different this time. | Image credit – Majin Bu Short answer: most of them, yes. If we are talking about the main iPhone 17 lineup – including the regular iPhone 17 , the brand-new iPhone 17 Air , and the higher-end Pro and Pro Max models – they should all drop at the same time this September. So, yes, don't expect an iPhone 17 Plus this year. Apple is ditching the larger non-Pro model altogether and giving us something lighter and thinner instead. That's where the new Air model comes in. But there is one more model missing from the fall party: the iPhone 17e. This is expected to be the follow-up to the iPhone 16e, which already replaced the SE line as Apple's budget option. If you are eyeing an upgrade, you won't have to wait much longer. By early September, Apple will likely have the iPhone 17 lineup up for preorder and by late September, it should be in your hands. And with some pretty solid upgrades expected – like improved cameras on the iPhone 17 Pro and Pro Max, more RAM across the lineup, and hopefully (finally!) higher refresh rates on the regular models – not to mention the thinner and lighter Air version, the wait could actually be worth it. But even if you are not buying a new iPhone, September still brings something big: iOS 26. That stable version of the update is expected to roll out alongside the iPhone 17 launch and it includes the new Liquid Glass look. So, if your iPhone supports it – and if you've got anything from an iPhone 11 or newer, it does – you'll still get something fresh and fun to play with. iOS 26 Public Beta hands-on: Liquid Glass is back in the front seat So yeah, whether you are planning to upgrade, waiting to see what Apple brings to the table, or just watching from the sidelines, September is when it all goes down. When you switch to Total Wireless, keep your number & grab 3 mo. of 5G We may earn a commission if you make a purchase Check Out The Offer
Phone Arena
5 hours ago
- Phone Arena
Apple closes a store for the first time in the biggest smartphone market on Earth
Another day, another thing that has never happened before: 2025 rocks (so far). Apple has many stores across China, and that's only natural, since that's where the largest smartphone market has been in recent years. Now, Apple has decided to close one of its emblematic stores in China. Apple is set to close one of its retail stores in Dalian (northeastern China) on August 9, as reports read, highlighting that Cupertino has been in China from 2008 onwards. The soon-to-be closed store is located in Parkland Mall, and it's being shut down due to a broader decline in the mall's foot traffic. Other brands (like Michael Kors and Armani) have also left. The report claims that this move reflects broader challenges in China's economy, where consumer spending remains weak despite government efforts to boost consumption through trade-in programs and subsidies for items like smartphones and electric is also facing mounting pressure in China, its second-largest market, as local competitors such as Huawei, Xiaomi, and Vivo continue to eat into its market share. The company's sales in China have been falling for six straight quarters, with revenue dropping nearly 10 percent last year compared to its 2022 the closure, Apple will maintain a presence in Dalian through another store and plans to open a new store in Shenzhen this month. With the addition, Apple expects to end 2025 with the same number of retail locations in China – 58 – as it started the year. Image by PhoneArena While Apple faces a slowdown in sales, domestic brands continue to gain momentum. Huawei, in particular, reclaimed the top spot in China's smartphone rankings during the second quarter of 2025, shipping 12.2 million units and capturing 18% of the market, according to research firm Canalys. Huawei's return to the top comes despite an overall dip in smartphone sales across the Chinese brands also posted strong numbers: Vivo took second place with 11.8 million units, followed by Oppo and Xiaomi. Apple, though still in the top five, came in last among the group with a 15% market share – roughly 10.1 million units – placing it behind its local competitors. So, one store opens, another is going to be shut down: but locals grab iPhones less and less. That doesn't worry me a bit. The big question is: how can people outside of China grab a hold of Chinese phones? Brands often release top-shelf models only for the Chinese market, and that's a shame.
