Setapp Mobile’s Closure Highlights Challenges for Alternative App Stores in the EU
In a significant development within the European Union’s digital marketplace, Setapp Mobile, one of the pioneering alternative app stores, has announced its impending closure. Developed by the Ukrainian company MacPaw, Setapp Mobile was launched in September 2024, offering a subscription-based model that provided users access to a curated selection of applications across various categories, including productivity, finance, video, photo, and creativity. This initiative was made possible by the EU’s Digital Markets Act (DMA), which aimed to foster competition by allowing third-party app stores on iOS devices.
Setapp Mobile’s model allowed consumers to access all of Setapp’s mobile apps through a €9.99 monthly subscription, provided the user’s Apple ID was associated with an EU member state. However, MacPaw has announced that all applications will be removed from Setapp Mobile by February 16, 2026. Applications available on Setapp Desktop will not be affected. The company cited still-evolving and complex business terms that don’t fit Setapp’s current business model as the primary reason for this decision.
The complex business terms refer to Apple’s intricate fee structures for apps operating under its new EU business terms. These include a controversial Core Technology Fee that charges developers €0.50 for each first annual install over 1 million in the past 12 months. Apple revised its fee structure last year to comply with the DMA, but instead of simplifying the fees, it made them more complex.
The constant changes in Apple’s fee structure have made it challenging for developers to plan and monetize their businesses effectively. This suggests that the current fees may not make running an alternative app store in the EU a viable option.
In a statement shared with TechCrunch, Setapp said it found its business model was not viable, as the commercial conditions continued to change. The statement reads:
> Setapp Mobile was a bold, breakthrough project that aimed to provide EU iOS users with access to alternative app marketplaces — creating a new app ecosystem where both developers and users could thrive. We are proud of what we have accomplished with it over the past two years and still believe passionately in this vision. As a result of still-evolving commercial conditions, we have determined that it is not viable to continue development or support for Setapp Mobile within Setapp’s current business model. While we are disappointed to discontinue Setapp Mobile and let down our user base and developer community in the EU, we are looking forward to pursuing the development of other innovations.
The closure of Setapp Mobile underscores the challenges faced by alternative app stores in the EU. While the DMA was designed to promote competition and provide consumers with more choices, the reality has been more complex. Apple’s fee structures and business terms have created a challenging environment for third-party app stores to operate profitably.
Despite these challenges, other alternative app stores continue to operate in the EU. Notably, the Epic Games Store from the maker of Fortnite and the open-source AltStore are still available to consumers. However, the sustainability of these platforms remains uncertain as they navigate the evolving regulatory and business landscape.
The closure of Setapp Mobile serves as a case study in the complexities of operating alternative app stores within the EU’s regulatory framework. It highlights the need for clearer and more stable business terms to ensure that such initiatives can thrive and provide consumers with genuine alternatives to dominant platforms.
