The Digital Markets Act (DMA), a recently enacted tech regulation by the European Union, is aimed at digital “gatekeepers” like Apple, mandating them to allow third-party app stores. However, in response to these regulations, Apple has implemented additional fees, leading to dissatisfaction among iOS app developers.
Sarah Bond from Xbox has joined the chorus of criticism regarding the new fee structure. She quoted a tweet from Spotify’s Daniel Ek, who suggested that these fees are a tactic to enforce adherence to the existing system.
Bond expressed her concern in a tweet, stating, “We believe constructive conversations drive change and progress towards open platforms and greater competition. Apple’s new policy is a step in the wrong direction. We hope they listen to feedback on their proposed plan and work towards a more inclusive future for all.”
We believe constructive conversations drive change and progress towards open platforms and greater competition. Apple's new policy is a step in the wrong direction. We hope they listen to feedback on their proposed plan and work towards a more inclusive future for all. https://t.co/mDRI5KPJf6
— BondSarahBond (@BondSarah_Bond) January 29, 2024
Epic CEO Tim Sweeney, engaged in a longstanding dispute with Apple over its App Store policies, also commented on the EU’s policy changes. Sweeney referred to the new fees as “a devious new instance of malicious compliance.”
The primary point of contention for developers revolves around a flat fee of 50 euro cents for every app installation beyond 1 million installs, applicable when developers choose third-party storefronts.
Even companies operating their own stores will be subject to the 50-cent fee per install without the million-user threshold. The European Commission plans to respond to Apple’s policy changes only after the DMA takes effect in March, with potential consequences if Apple fails to meet the new regulatory requirements.
Epic has announced its intention to reintroduce Fortnite on iOS in Europe through the Epic Games Store, leveraging the regulatory changes. Additionally, Xbox is reportedly gearing up to launch its own mobile game store in the future, strengthened by its recent acquisition of mobile gaming giant King as part of the Activision-Blizzard deal.
