Epic Games dismisses Apple’s simplified EU App Store fees as ‘junk’

PERSONAL TECH

Consumer group sees improvements on paper but warns the devil remains in the detail

Apple’s latest attempt to settle its App Store dispute with the European Commission has drawn criticism from Epic Games and a cautious response from a consumer group, which warned that “the devil is in the detail.”

Announced on August 18, the changes introduce new business terms for applications distributed in the European Union. Apple says the changes “reduce complexity by moving every developer that distributes apps in the EU to a single set of business terms” and resolve its long-running spat with the Commission over fees and alternative distribution.

An App Store app using Apple In-App Purchase will attract a 26 percent commission, reduced to 15 percent for developers in qualifying programs and auto-renewing subscriptions after their first year. The rate for apps using alternative payment processing will be 20 percent, or 10 percent for qualifying developers. Apps linking to the web to complete purchases will incur a 15 percent commission, again reduced to 10 percent for qualifying developers. Apps distributed through an alternative marketplace or the web will pay Apple a 5 percent “Core Technology Commission” on digital transactions.

The structure is simpler than Apple’s previous terms, which were revised after the company was slapped with a €500 million fine. Complaints about Apple’s antics continued through the end of 2025 amid accusations that the company was persisting in non-compliance with the Digital Markets Act (DMA).

Apple claims the changes follow “close collaboration with the European Commission” and “resolve Apple’s disagreements with the Commission over business terms and alternative distribution.”

Naturally, there was plenty of hand-wringing and “think of the children” rhetoric from the iPhone slinger. The company would obviously prefer users to stick with Apple In-App Purchase, calling it “the safest, most trusted way for users to purchase and download apps and make seamless and secure payments in those apps.” It also noted that it had worked with the Commission on child safety measures for alternative payments, including parental gates and restrictions on links from apps aimed at children.

Epic Games, a longstanding critic of Apple’s App Store practices, called the scheme “junk fees,” adding that the plan did “nothing to open up the mobile app ecosystem to competition, as required by Digital Markets Act.”

“The law makes it clear that Apple must allow developers to offer link outs to the web for purchases ‘free of charge’ and has to allow ‘effective use’ of competing stores,” the company wrote.

The European Consumer Organisation (BEUC), an umbrella group representing 42 independent consumer organizations across 31 countries, was also cautious.

Sébastien Pant, the group’s senior officer for competition and digital enforcement, wrote: “On paper, there seem to be some improvements with a simpler and lower fee structure. But it remains to be seen if these commitments will satisfy app developers who will, in any case, pass on the fees to consumers.

“We also need to see the full user flow to see if consumers will truly benefit. For example, will consumers be able to easily conclude contracts with app developers on iPhones outside the App Store without having scare screens displayed? Will it be possible to easily download and use alternative app stores on iPhones and iPads without the artificial friction Apple deliberately created?

“Also, we must remember this is not a gift Apple is giving consumers, but something they are required to do so by EU law. It might be a cliché, but the devil is in the detail!”

Developers can sign the new terms immediately, with the changes taking effect on October 1. ®