Apple is reportedly preparing changes at the App Store aimed at boosting revenue—moves that may draw sharp criticism and pose risks for both the company and its developer community.
Leadership shake-up signals concern
Phil Schiller, long-serving leader of App Store operations, recently stepped away from his role overseeing it. Though he retains his status as Apple Fellow, his departure from App Store oversight aligns with reported discontent over Apple’s future profit plans, particularly among its senior executives.
John Ternus and Eddy Cue are said to be taking more responsibility for increasing App Store revenue. Among the options under consideration are raising commission fees or reducing operational costs—both of which could provoke significant blowback.
Revenue gambits likely limited or risky
Raising fees across the board appears politically and legally fraught. In Europe, Apple is already under regulatory pressure requiring lower App Store fees under recent legislation. Any across-the-board increases would conflict with those mandates.
In the United States, Apple is pushing back in court over decisions related to App Store commission structures, including appeals ongoing in the Supreme Court following rulings that could force Apple to allow or acknowledge alternate payment methods.
Cost-cutting looks like another pathway Apple might explore. However, shaving expenses—especially in areas like app review—would carry serious trade-offs. The App Review team already faces critiques of being “unfit for purpose,” and scaling it down or underfunding it could undermine trust in the platform.
Featured spots may become pay-to-play
One potential revenue stream being considered: charging developers to be featured in App Store highlights. Historically, those highlighted apps were chosen by an editorial team and not by budget.
If spotlight positions become paid promotions, they could lose credibility. Instead of surfacing noteworthy or innovative apps, featured slots may simply reflect which developers have deep pockets. That risks eroding users’ trust in curated content.
Context: why this matters
The App Store has long been Apple’s primary ecosystem for distributing software on iOS and iPadOS, and its policies around commissions, app review, and featuring have big influence on the broader tech landscape. As regulators in multiple regions demand greater openness, Apple’s ability to unilaterally make profit-boosting moves is increasingly constrained. Past efforts—like resistance to alternate payment systems—have already triggered legal challenges and regulatory attention.
Schiller’s departure over editorial and curation disagreements dates back to 2022, when he resisted prioritizing paid highlighting of apps over editorial selection.
Should Apple proceed with pushing more monetization through the App Store—via higher fees, paid promotions, or cuts to review—there’s a risk of alienating developers, triggering regulatory scrutiny, and undermining the trust users place in curated app spaces.
What to watch: whether Apple submits to regulatory demands regarding fees, how transparent its criteria become for featured app placements, and how faithfully it maintains rigorous app review in light of cost pressures. Ultimately, efforts to squeeze more value from the App Store may look profitable in the short term—but could prove costly in reputation and legal consequence.
