Apple has recently implemented significant changes to its App Store policies in the European Union (EU) to align with the Digital Markets Act (DMA) and avoid substantial daily fines. These adjustments come in response to a €500 million fine imposed by the European Commission in April for allegedly restricting developers from directing users to alternative payment methods outside the App Store.
Background on the Digital Markets Act
The DMA, which came into effect in November 2022, aims to promote fair competition in the digital marketplace by preventing large tech companies from imposing anti-competitive restrictions. Under this legislation, companies designated as gatekeepers, such as Apple, are required to allow app developers to communicate freely with their users and offer competing payment systems without being subject to unfair conditions or excessive fees.
Apple’s Initial Non-Compliance and Fine
In April 2025, the European Commission fined Apple €500 million for violating the DMA’s anti-steering provisions. The Commission found that Apple’s App Store policies restricted developers from informing users about alternative payment options and from facilitating transactions through external platforms. Apple was given 60 days to comply with the DMA or face additional daily fines of up to €50 million.
Revisions to App Store Policies
In response to the Commission’s ruling, Apple introduced several changes to its App Store policies in the EU:
1. External Payment Links: Developers can now direct users to alternative payment options using multiple external links within their apps. This change allows developers to inform users about and facilitate transactions through external platforms, promoting competition and potentially offering users more affordable options.
2. Overhauled Fee Structure: Apple has introduced a new fee structure comprising three components:
– Initial Acquisition Fee: A one-time fee applied when a user first installs an app.
– Store Services Fee: An ongoing fee for services provided by the App Store, such as hosting and distribution.
– Core Technology Commission: A fee applied to digital purchases made outside the App Store.
For most App Store purchases, Apple will take a 20% commission, which can go as low as 13% for small businesses. For transactions routed outside the App Store, developers will pay a fee ranging from 5% to 15%.
Regulatory Response and Potential Approval
The European Commission is currently reviewing Apple’s proposed changes to determine their compliance with the DMA. While a final decision has not been issued, sources indicate that approval is likely in the coming weeks, provided no last-minute issues arise. If the changes are deemed sufficient, Apple would avoid the additional daily fines that could have amounted to €50 million per day.
Ongoing Appeal and Industry Reactions
Despite implementing these changes, Apple is appealing the €500 million fine, arguing that the Commission’s ruling exceeds the requirements of the DMA. Apple contends that it should retain the ability to manage its platform’s commercial terms without what it perceives as overreach by the Commission.
Industry reactions to Apple’s policy changes have been mixed. Some developers welcome the increased flexibility and potential for reduced fees, while others express concerns about the complexity of the new fee structure and the potential for continued dominance by Apple in the app distribution market.
Conclusion
Apple’s recent revisions to its App Store policies in the EU represent a significant shift in response to regulatory pressure under the DMA. By allowing developers to direct users to alternative payment methods and introducing a new fee structure, Apple aims to comply with EU regulations and avoid substantial daily fines. The European Commission’s forthcoming decision will determine whether these changes are sufficient to meet the requirements of the DMA and promote fair competition in the digital marketplace.
