Epic Games Slams Apple's New EU App Store Fee Structure

Apple has introduced new business terms for European Union app distribution in an effort to settle a long-running dispute with the European Commission over alternative distribution and fees. According to reporting from The Register, Apple claims these changes reduce complexity by moving all EU developers to a single set of business terms.

Under the new structure, apps using Apple In-App Purchase will face a 26 percent commission, though this drops to 15 percent for auto-renewing subscriptions after one year and for developers in qualifying programs. Apps utilizing alternative payment processing will be charged 20 percent, while those linking to the web for purchases will incur a 15 percent commission. Qualifying developers will see these rates reduced to 10 percent. Additionally, apps distributed via the web or alternative marketplaces will pay a 5 percent "Core Technology Commission" on digital transactions.

Epic Games dismissed the plan as "junk fees," asserting that the move fails to open the mobile app ecosystem to competition as mandated by the Digital Markets Act (DMA). Epic Games argued that the DMA requires Apple to allow the "effective use" of competing stores and permit developers to link to the web for purchases "free of charge."

Sébastien Pant, senior officer for competition and digital enforcement at the European Consumer Organisation (BEUC), expressed caution regarding the update. While Pant noted that the fee structure appears simpler and lower on paper, he questioned whether consumers would actually benefit or if they would simply be passed the cost of the fees. Pant also raised concerns regarding "artificial friction" and "scare screens" that could hinder the use of alternative app stores.

Apple stated the changes resulted from "close collaboration with the European Commission." The new terms are available for developers to sign now, and will take effect on October 1.