MicrosoftFacebook parent company MetaTinder-owner Match Group and X Platforms (formerly Twitter) fired a shot at Apple in a US court, arguing the iPhone maker’s solution to a judge’s order on in-app payments falls short.
A California judge previously ruled against Apple, saying that the company cannot restrict developers from directing users – via “buttons, external links, or other calls to action” – to alternative payment methods outside the App Store.
Epic and other developers have voiced concerns against Apple’s up to 30% fees on in-app purchases, which the iPhone-maker has defended saying that it is a reasonable compensation for its own services on the App Store. The developers claim that Apple makes it difficult to include a link to an external purchase option, preventing them from directing users to payment options at a lower price outside of the iOS ecosystem.
What the companies have to say
The tech companies in a brief filed this week said that Apple’s idea of compliance does not fix the problem. Its proposal to let developers point to an external purchase link is complex and burdensome, they added.
Epic Games, one of the staunch critiques of ‘Apple tax’, has asked the judge to enforce her original order, saying that Apple is in “blatant violation” of the injunction. This development holds importance because tech bigwigs like Microsoft and Meta are throwing weight against Apple’s rules, suggesting that even the large tech companies are getting impacted by them.
They claim that Apple’s 12 to 27% fee on external purchases barely undercuts their current in-app purchase fees, making it financially unattractive for developers to switch. External payment systems often come with additional transaction costs, potentially wiping out the 3% “discount” Apple offers. Furthermore, with minimal price difference, customers are unlikely to jump through hoops for external payments.
A California judge previously ruled against Apple, saying that the company cannot restrict developers from directing users – via “buttons, external links, or other calls to action” – to alternative payment methods outside the App Store.
Epic and other developers have voiced concerns against Apple’s up to 30% fees on in-app purchases, which the iPhone-maker has defended saying that it is a reasonable compensation for its own services on the App Store. The developers claim that Apple makes it difficult to include a link to an external purchase option, preventing them from directing users to payment options at a lower price outside of the iOS ecosystem.
What the companies have to say
The tech companies in a brief filed this week said that Apple’s idea of compliance does not fix the problem. Its proposal to let developers point to an external purchase link is complex and burdensome, they added.
Epic Games, one of the staunch critiques of ‘Apple tax’, has asked the judge to enforce her original order, saying that Apple is in “blatant violation” of the injunction. This development holds importance because tech bigwigs like Microsoft and Meta are throwing weight against Apple’s rules, suggesting that even the large tech companies are getting impacted by them.
They claim that Apple’s 12 to 27% fee on external purchases barely undercuts their current in-app purchase fees, making it financially unattractive for developers to switch. External payment systems often come with additional transaction costs, potentially wiping out the 3% “discount” Apple offers. Furthermore, with minimal price difference, customers are unlikely to jump through hoops for external payments.