Apple has unveiled modifications to iOS, Safari, and the App Store within the European Union to align with the Digital Markets Act (DMA). These adjustments introduce over 600 new APIs, enhanced app analytics, support for non-WebKit browser engines, and alternative methods for app payment processing and distribution. However, these changes also introduce new privacy and security risks for EU users, which Apple aims to mitigate with new safety measures.
Developers are encouraged to explore these changes on the Apple Developer Support page and can start testing the new features in the iOS 17.4 beta. The updates will be accessible to users in the 27 EU member states from March 2024. Phil Schiller, Apple Fellow, emphasizes that while complying with the DMA, Apple’s focus remains on offering a secure user experience, and developers can choose to stick with the current business terms if they prefer.
The DMA has identified iOS, Safari, and the App Store as "core platform services." To help users navigate the changes, Apple will provide new resources in March, including guidance on the complexities and best practices for mitigating new risks associated with alternative app marketplaces and payment methods.
Apple is implementing safeguards such as Notarization for iOS apps, app installation sheets, authorization for marketplace developers, and additional malware protections to reduce risks when users download iOS 17.4 or later from March.
EU users can set a third-party web browser as the default upon first opening Safari in iOS 17.4 or later, as required by the DMA.
Apple offers new business terms for developers in the EU, which they can choose to adopt or remain on existing terms. The new terms are designed to accommodate the DMA’s requirements for alternative distribution and payment processing. The terms include a reduced commission, a payment processing fee for using the App Store's system, and a Core Technology Fee for apps exceeding a certain threshold of installations.
Commission Structure: The commission rates for iOS apps on the App Store have been adjusted. Most developers, as well as subscriptions after their first year, will be subject to a 10 percent commission. For other transactions involving digital goods and services, the rate will be 17 percent.
Payment Processing Options: Developers have the choice to utilize the App Store's payment processing system for a supplementary fee of 3 percent. Alternatively, they can integrate a payment service provider within their app or direct users to their website for payment processing without incurring any additional charges from Apple.
Core Technology Fee: For iOS apps that are downloaded from either the App Store or alternative marketplaces, a fee of €0.50 will be levied for each first annual installation above a threshold of 1 million installations per year.
Developers can find more information on the Apple Developer Support page and test these capabilities in the iOS 17.4 beta.
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