Apple gives concession on 30% Cut for Hosted Apps

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Apple gives concession on 30% Cut for Hosted Apps

After a series of backlash and legal hurdles from Epic Games and Spotify, it appears Apple is now loosening it’s stance on the mandatory 30% payment cut on sales from third party sales on its platform.

This development came after a heavy crackdown from regulators across the globe on grounds of violations of antitrust laws. India is currently investigating the company on similar grounds, towing the steps of the EU and the UK.

The South Korean government also passed a law which allows for developers to to introduce their own payment systems effectively boycotting the in-app payment platforms by Apple and Google alike.

Apple has also reached a settlement in Japan that will allow apps like Spotify and Netflix to make payment via alternative platforms – https://www.apple.com/newsroom/2021/09/japan-fair-trade-commission-closes-app-store-investigation/

Spotify CEO, Daniel Ek is still pushing for a more mainstream decision that will foster competition. In his words…

App developers want clear, fair rules that apply to all apps. Our goal is to restore competition once and for all, not one arbitrary, self-serving step at a time.”