Apple introduces additional exemptions to EU core tech fee after developer backlash
Apple has announced changes to its fee structure for iOS developers in the European Union in response to the bloc’s Digital Markets Act (DMA). The new fee, known as the core technology fee (CTF), will now be optional for developers creating free apps. Additionally, developers earning less than €10 million in global revenue will have a three-year grace period before they have to pay the fee.
The European Commission is currently investigating whether Apple’s fee structure allows the tech giant to avoid competition in the App Store. Despite this scrutiny, Apple has not been prevented from implementing the fee. Instead, the company is adjusting its policies based on feedback from developers who were concerned about potential penalties for offering free non-commercial apps or unexpected hits from small developers.
Developers of free apps will need to certify their non-commercial status annually to qualify for the fee exemption. Those who qualify for the exemption will not have to pay the CTF, while others can opt-in to take advantage of new entitlements mandated by the DMA.
In addition to iOS, iPadOS will also fall under the DMA, giving Apple six months to comply with the same rules as iOS and the App Store. The CTF will apply to iPadOS apps as well, with users who install the same app on both iOS and iPadOS within a 12-month period only generating one initial install.
Overall, Apple’s changes to its fee structure aim to address concerns from developers and align with the DMA’s regulations regarding competition and fair practices in the app marketplace.
