Apple makes an epic reduction to its App Store cut
Think Apple takes too much money from developers using its App Store? Apparently, so did Apple. The company has moved to greatly reduce the percentage of commission it receives apps on the App Store.
Apple vs Epic Games is still ongoing, with the company’s warring over Apple’s App Store commission. However, Apple appears to have taken things into its own hands, chopping its 30% commission down to just 15% for small developers earning up to $1million per year.
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Apple released a statement titled: “Apple announces App Store Small Business Program” revealing the developer-friendly move. Here’s what Apple has to say on the programme’s goals:
“Apple today announced an industry-leading new developer program to accelerate innovation and help small businesses and independent developers propel their businesses forward with the next generation of groundbreaking apps on the App Store.
The new App Store Small Business Program will benefit the vast majority of developers who sell digital goods and services on the store, providing them with a reduced commission on paid apps and in-app purchases.”
The new programme will launch in early 2021, with Apple revealing full details in December. The standard commission rate remains 30% for developers earning over the $1million per year threshold.
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As Apple states, the move could be a great move for innovation in app development space. However, what we don’t know is how this will affect the Apple vs Epic Games spat. Epic Games end goal has never been immediately clear, from arguing the 30% rate was exorbitant to suggesting it’d like to have its own store on iOS devices.
While the move is extremely attractive for small developers, the $1million threshold will be too low to benefit more sizable developers like Epic Games, if it was on the App Store. However, the move certainly allows Apple to give a stronger outward impression of standing on the moral high ground in the dispute – true or not. Here at Trusted Reviews, we previously questioned whether Epic Games had overplayed its hand in the spat.