Apple Revamps EU App Store, Yields to New Digital Regulations
In compliance with the European Union's Digital Markets Act, Apple is set to introduce significant modifications to its App Store practices in Europe. This act, effective as of March 7, mandates major tech companies to open their platforms to competitors. Apple's upcoming changes include permitting alternative app stores, thus allowing users across the EU to download apps for various purposes, such as games and productivity tools, from sources other than the official App Store. Additionally, developers will be able to utilize their own payment systems, circumventing Apple's in-app purchase system which typically incurs a 30% commission fee.
Alongside the provision for alternative app stores, Apple is introducing a fee structure that imposes an annual charge of €50 for each first installation of an app that has been downloaded over 1 million times. This fee applies per Apple account and is applicable regardless of whether the download was via the App Store or an alternative platform. This change, which is part of the iOS 17.4 update, is expected to affect Apple's financial model, as the App Store has been a significant revenue generator for the company, contributing to its nearly $400 billion business.
In a different vein, journalist Emily Chang is hosting a series titled "The Circuit," which delves into the confluence of culture, technology, entertainment, and business. Chang will visit various locations to conduct in-depth interviews with some of the most intriguing founders, influencers, and innovators around the world. This series aims to provide audiences with an inside look at compelling stories, product launches, and emerging trends across these dynamic sectors.
