Apple Adjusts Core Technology Fee for iOS Developers in the EU
Changes Aim to Support Free and Small-Scale Apps
In response to feedback from developers, Apple is making adjustments to its core technology fee (CTF) for iOS developers in the European Union. The changes, effective immediately, are designed to support free apps and provide small developers with more time to scale their businesses before the fee applies.
Fee Exemption for Non-Commercial Apps
Developers of free, non-commercial apps will now be able to avoid the CTF entirely. This exemption is intended to benefit students, hobbyists, and other developers creating apps without a commercial focus. To maintain their fee-exempt status, developers will need to certify their non-commercial standing to Apple on an annual basis.
Three-Year “Free On-Ramp” for Small Developers
Small developers earning less than €10 million in global annual business revenue will receive a three-year grace period before the CTF applies. During this time, if a small developer crosses the one million first annual installs threshold for the first time, they will not be subject to the fee, even if they continue to exceed the threshold during the three-year period.
“Within this 3-year period, if a small developer that hasn’t previously exceeded one million first annual installs crosses the threshold for the first time, they won’t pay the CTF, even if they continue to exceed one million first annual installs during that time,” Apple wrote in a blog post.
Compliance with the Digital Markets Act
These changes come as Apple continues to adapt to the European Union’s Digital Markets Act (DMA). The CTF remains optional for iOS developers in the region, but those wishing to take advantage of new entitlements required by the DMA, such as sideloading of apps, third-party app stores, and alternative payment technologies, must agree to the terms that include the fee.
iPadOS to Follow iOS Changes
With the recent announcement that Apple’s tablet OS platform, iPadOS, will also fall under the DMA, the company has confirmed that all DMA-related changes applied to iOS will be mirrored on iPadOS later this fall. Developers can choose to adopt the Alternative Business Terms for Apps in the EU or remain on Apple’s existing terms.
1 Comment
Well, Apple finally listened – wonders never cease!