As the European Union rolls out the Digital Markets Act, tech giants like Apple are being designated as gatekeepers, prompting significant shifts in their product ecosystems. Recently, Apple confirmed that the changes implemented for iPhones in compliance with this regulation will also extend to iPads later this fall, aligning with the EU’s six-month compliance timeline.
Under these changes, alternative app marketplaces will be permitted on iPads, allowing users to download apps from sources beyond the Apple App Store. Users will also have the freedom to choose their preferred browser, which need not be based on WebKit, and select their default search engine, signaling a departure from the previous norm.
Moreover, contactless payment methods will be expanded beyond Apple Wallet and Apple Pay, enabling developers to utilize NFC technology in banking and wallet apps across the European Economic Area.
While developers using alternative marketplaces will be subject to a Core Technology Fee (CTF) after the first million installs, Apple has clarified that installing the same app on both iPhone and iPad will count as a single install toward this threshold.
In a bid to support small developers, Apple has introduced measures such as a three-year exemption from the CTF for developers with less than €10 million in global annual revenue. Additionally, there’s a cap on the CTF, ensuring that developers transitioning into higher revenue brackets are not disproportionately burdened.
These changes represent a significant shift in how Apple operates within the EU and may influence similar regulatory actions in other jurisdictions. As the landscape evolves, developers will need to navigate the complexities of these new arrangements while deciding the best course of action for their apps.
