Apple has only received 38 applications so far from US app developers wanting to add alternative payment methods to their iOS apps. The remaining 65,000 developers who offer in-app purchases so far only use Apple’s own payment system.
Since January, Apple has received only 38 requests from US app developers wanting to use alternative payment systems in their apps. The company announced this during a hearing in a new lawsuit between the iPhone maker and Epic Games, Bloomberg writes. None of the 38 submissions came from developers of “major” apps, Apple says.
Some app developers stated during the hearing that it costs them the same or even more to add their own payment methods. Apple has imposed a condition that developers must pay a 27 percent commission if they offer external payment systems. That is 3 percentage points less than when they use Apple’s own payment system, but because they process the payments themselves, the costs are often higher, according to the developers.
The judge said during the hearing that ‘it sounds as if the goal was to improve the revenue model [Apple] had in the past, to preserve’. The judge also blames Apple for not calculating exactly how much it costs app developers to offer alternative payment methods. “I’m looking for data and it seems like you’ve made a lot of decisions without data.”
The current lawsuit between Apple and Epic Games follows an earlier dispute between the two parties from 2021. The latter then demanded, among other things, that Apple must allow referrals to external payments in iOS apps. The judge agreed with Epic on that point. “[Apple] should no longer prevent developers from using buttons, external links and other calls to guide customers to other purchasing methods,” the ruling said at the time.
At the beginning of this year, Apple implemented the mandatory changes. These only apply in the US. In the Netherlands, placing links has been allowed in iOS apps since 2022, but only in dating apps. Apple applies the same conditions in both cases. In addition to the 27 percent commission, developers are required to offer in-app payments via Apple at all times. Additionally, users will be presented with a screen warning that Apple is not responsible for payments made on that third-party website.
According to Epic, the strict requirements imposed by Apple are contrary to the 2021 court order. The Fortnite maker has therefore once again initiated an antitrust case against the tech giant this year. It is not yet clear when the judge will make a ruling.
Tags: Apple app developers accept requirements thirdparty payment systems Tablets phones News
