Apple Announces Changes to App Business Terms in the European Union (EU)

Through collaboration with the European Commission (EC), Apple has announced new business terms applicable to apps within the EU. These changes aim to reduce complexity by applying a single set of terms to developers and take effect on October 1.

The new model replaces the existing Core Technology Fee (CTF) with a 5% Core Technology Commission (CTC) on digital transactions for externally distributed apps. The key fee structures are as follows:

• When using Apple In-App Purchase: 26% (15% if participating in programs such as the Small Business Program)
• When using external payment processing: 20% (10% if participating in programs)
• When providing external payment links (outlinks): 15% (10% if participating in programs)
• External marketplaces or web-distributed apps: 5% (CTC)

Developers can now offer both Apple In-App Purchase and external payment options simultaneously. However, to ensure a consistent user experience, the chosen payment method must be maintained for 12 months.

For child safety, apps in the Children category cannot include website links for external payments. Additionally, users under 18 must undergo parental verification before making purchases, and users under 13 are restricted from connecting to external websites to prevent scams.

Finally, eligibility requirements for external app marketplaces and web distribution have been expanded to include companies with verified financial stability, publicly listed companies, and companies that have secured venture capital investment.