Apple will finally allow app developers to use the payment method of their choice in the iOS App Store. The company said in a press release that it empowered app developers to inform users that they can now use alternative payment methods for in-app purchases, thus avoiding the massive fees the company charges.
Prior to this update, Apple policy did not allow developers to use any payment methods other than the one available in the App Store. This resulted in the company taking 30% of all transactions made with the application.
This change is a proposed settlement to a lawsuit filed by two developers in 2019. Apple and the plaintiffs allegedly filed motions urging a federal judge to approve the settlement, calling it a “win-win” situation. The change in guidelines now makes up to $ 100 million available to developers who claim to have lost revenue due to politics.
“From the start, the App Store has been an economic miracle; It is the safest and most reliable place for users to get apps, and an incredible business opportunity for developers to innovate, thrive, and grow. We would like to thank the developers who have worked with us to reach these agreements in support of the App Store’s goals and for the benefit of all of our users. ”
– said Apple employee and head of the App Store Phil Schiller.
However, Epic Games and CAF (Application Fairness Coalition) are not convinced of this settlement. The settlement does not address structural problems that affect application developers around the world, the group said.
“Apple’s bogus settlement proposal is nothing more than a desperate attempt to avoid decisions by courts, regulators and legislators around the world. This proposal does nothing to address the structural, fundamental problems facing all developers, large and small, by undermining innovation and competition in the application ecosystem. Allowing developers to communicate with their customers about lower prices outside of their apps is no concession and further highlights Apple’s complete control over the app market. If this settlement is approved, app makers will continue to be prohibited from reporting lower prices or offering competing payment options in their apps. We are not satisfied with empty gestures and will continue our fight for honest and open digital platforms. ”
– said Megan DiMuzio, CEO of CAF in a statement.