The News
Apple updated its App Store business terms in the EU yesterday. The changes reduce the Core Technology Fee and simplify pricing for apps distributed outside the official store or through the web. Apple stated the revisions followed close collaboration with the European Commission and would resolve prior disagreements over alternative distribution rules.
The company described the move as a direct response to the Commission's earlier findings. It cut the fee amount that applies when developers choose alternative marketplaces or web-based distribution. The revised schedule removes some of the layered charges that had remained in place even after the initial DMA adjustments.
Context
The updates respond to the Commission's earlier non-compliance decision under the Digital Markets Act. Before these adjustments, developers faced higher fees when routing payments or downloads through third-party marketplaces. The prior structure had kept the Core Technology Fee in place even for some alternative channels, which limited the practical effect of DMA-mandated openness.
The Digital Markets Act requires gatekeepers such as Apple to allow competing distribution methods without imposing equivalent burdens. The Commission's non-compliance finding had focused on business terms that continued to tie developers to Apple's payment and distribution systems. Apple's latest revisions aim to narrow that gap by lowering the per-install charge that had applied across channels.
Details
Under the new terms, apps using alternative marketplaces or web distribution pay a lower Core Technology Fee than before. Apple described the pricing structure as simplified, removing layers that had applied across different distribution methods. The company said the revisions directly address the Commission's concerns about business terms tied to alternative distribution.
The European Commission welcomed the changes. It noted that the updates followed dialogue after the non-compliance decision and viewed them as progress toward compliance. A consumer group observed improvements on paper but cautioned that the practical impact depends on remaining details in the fee schedule.
No new numbers were released in the announcements, but the direction is clear: the Core Technology Fee now sits at a reduced level for any app that avoids the official App Store. Apple emphasized that the changes apply only in the EU and result from direct talks with regulators.
Reactions
The Commission and Apple presented the outcome as a resolution reached through direct talks. Epic's response highlighted ongoing friction, arguing that any remaining per-install or per-download charges tied to Apple's ecosystem still function as barriers. No other major developers have issued public statements on the revised schedule yet.
Epic Games rejected the revisions outright. The company labeled the adjusted fees "junk fees" that continue to burden developers who choose routes outside Apple's controlled storefront. Epic's statement positioned the update as insufficient to create genuine competition in app distribution.
The consumer group statement added a note of caution without rejecting the changes. It pointed out that lower headline fees do not automatically translate into easier market entry when other conditions around payment processing and user acquisition remain unchanged.
Why it matters
For developers operating in the EU, the lower Core Technology Fee reduces one immediate cost of using alternative marketplaces, yet the persistence of any fee structure tied to Apple's technology keeps a baseline expense in place. Companies that already ship outside the App Store gain a clearer path to lower overhead, while those still weighing the switch must calculate whether the savings justify the added distribution work.
The revised terms also illustrate how enforcement under the Digital Markets Act proceeds in practice. Regulators and the company reached an adjustment through dialogue rather than immediate penalties, but the outcome leaves room for further challenges. Epic's quick dismissal shows that groups seeking broader structural change view any retained per-install charge as an obstacle that still favors the incumbent platform.
Developers now face a narrower but still present set of trade-offs. The reduced fee lowers the break-even point for moving to an alternative marketplace, yet the remaining charge means Apple continues to collect revenue from installs that occur outside its store. Over time, this structure could either stabilize at a new equilibrium or invite additional complaints if the effective cost continues to deter meaningful competition.
The changes shift the numbers but leave the underlying question of how much control Apple retains over distribution fees unresolved for now. Further adjustments or new complaints from developers could surface once the updated schedule is tested in the market.
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Sources:
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