Netherlands’ Antitrust Regulator Reviewing Apple’s Plan to Collect 27 Percent Commission from Dating App Developers [Update]

The Authority for Consumers and Markets (ACM) in the Netherlands told
Reuters
that it is reviewing Apple’s proposal to see if it complies with the rules. The potency earlier instructed Apple to allow developers of dating apps to use tertiary-political party payment systems. The iPhone maker proposed charging a 27 percentage committee in the plan under review.

To get yous up to speed, the ACM directed Apple to allow all dating app developers in the Netherlands to use third-political party payment systems. The ACM accounted the Cupertino behemothic’southward initial compliance plan inadequate and slapped it with a 5 one thousand thousand euro fine that would exist levied every week until it complied. At the time, Apple tree insisted information technology complied with the rules in the netherlands, but the ACM differed. On February 4, Apple tree hurriedly submitted a plan that proposed collecting a 27 percent commission for using 3rd-party payment systems for processing in-app purchases.

The ACM is now reviewing this plan. The antitrust regulator noted that previously, Apple did not implement its plans just merely laid them out and allowed developers to register their interest.

At commencement, Apple’s proposal of a 27 pct commission might seem like a ameliorate deal than the 30 percent commission it charges for using the App Store’s default payment system. However, several developers highlighted diverse demerits associated, such equally:

Developers would need to choose between a third-party payment service within the app, redirecting to an external website, or Apple’s offering.
The developers would directly exist tasked with treatment queries related to “refunds, purchase history, subscription management,” etc.
The dating app would have to display an intimidating-looking canvas before redirecting users to third-party platforms.
Developers could be compelled to create a separate app merely available in holland.

And after you pay your ~three% to your payment processor, Apple’s 27% commission takes you right back up to 30%.

Glorious.

Come on, THIS is comedy. Amazing, ridiculous comedy.

I’d be surprised if a single app ever took them up on this.

(And that’s exactly past design.)

— Marco Arment (@marcoarment) February 4, 2022

Absolutely vile. This says everything nearly @tim_cook’southward Apple and what it thinks of developers. I hope the company gets exactly what it deserves. Everybody on their executive team should be ashamed, and some of them should non exist here when information technology’s all over. Nosotros all see you https://t.co/cLOAqWXnU5

— Steve Troughton-Smith (@stroughtonsmith) February four, 2022

Our Take

All things considered, near small developers would be unable to comply with Apple tree’s prerequisites or find it unreasonable to invest in the evolution costs to save on a monthly commission. Not to mention, third-political party payment gateways also accuse the developers a commission that hovers around the 3 percent marker. This finer negates any do good developers could become from Apple’southward nearly current compliance plan.

Do you think the market regulator would allow Apple tree to implement a compliance plan that doesn’t seem to do good developers in whatsoever style? Tell us in the comments section below.

Update: ACM Fines Apple Another 5 Million Euro

Reuters reports that the ACM has levied another five one thousand thousand euros ($5.7 meg) fine on the tech giant for the tertiary consecutive week. The regulator claims Apple still hasn’t provided enough information to appraise its compliance with the orders. In a argument, the ACM said it is “disappointed in Apple tree’s behavior and actions.”

[Via Reuters]