Apple announced a new set of European Union app business terms on August 18, replacing a per-install charge with a commission on digital transactions outside the App Store. Developers could sign that day, with the changes scheduled to take effect October 1.
The company's announcement said the Core Technology Fee would give way to a 5 percent Core Technology Commission for apps distributed through alternative marketplaces or the web. It also removed the initial acquisition fee and store services fee.
For a developer, the distribution and payment route now need to sit beside the percentage in a cost comparison.
Several routes, several rates
Apple listed different commissions for App Store apps using its purchase system, alternative payment processing, or links to purchases elsewhere. Reduced rates applied to specified programs and some subscriptions. A headline percentage therefore needs its qualifying route beside it.
The company also said developers could offer Apple In-App Purchase alongside alternative payment options, subject to presentation requirements. Selected payment options had to remain in place for 12 months.
For a team planning a checkout change, a sensible comparison includes the entire transaction. Payment processing, customer support, refund handling, taxes, and software maintenance all deserve a line in the model. Moving a purchase to a website may move work to the developer as well.
What customers should look for
A person buying an app subscription needs to know who bills them and where cancellation happens. A familiar app icon does not answer those questions when the purchase opens another checkout.
Apple's developer support page explains the available EU distribution and payment routes. The terms are regional. U.S. readers should not assume an EU announcement changes the choices on their own account.
| Route in Apple's announcement | Standard commission |
|---|---|
| App Store with Apple In-App Purchase | 26 percent |
| App Store with alternative processing | 20 percent |
| App Store linking to outside purchases | 15 percent |
| Alternative marketplace or web distribution | 5 percent |
Specified programs and qualifying subscriptions had reduced rates. This table is the standard-rate comparison, not a calculation of a particular developer's full costs.
Keep the receipt and seller name so the billing and cancellation route can be identified later.
