A number of larger publishers aren’t happy about Apple’s App Store policies and believe they don’t comply with the Digital Markets Act (DMA).
A coalition of 34 companies and associations, including Spotify, Epic Games, Deezer, and Paddle, on Friday sent a joint letter to the European Commission to complain about Apple’s “proposed scheme for compliance” with the DMA.
The coalition stated that they do not believe Apple’s plans “meet the law’s requirements.” Apple’s changes “disregard both the spirit and letter of the law” and if left unchanged, will “make a mockery of the DMA,” according to the letter. Several specific components of Apple’s plan are highlighted, including the Core Technology Fee, the Notarization process, and the terms that developers must accept.
The friction emerged from Apple’s requirement to either stay with the current App Store terms or opt in to new terms which the developers have stated provides them with “an unworkable choice” that adds complexity and confusion. The letter suggests that neither option is DMA compliant and would “consolidate Apple’s stronghold over digital markets.”
The group also offered the following points to their argument:
- The Core Technology Fee and transaction fees will hamper competition and will prevent developers from agreeing to the “unjust terms.”
- Apple is using “unfounded privacy and security concerns” to limit user choice. The “scare screens” that Apple plans to show users will “mislead and degrade the user experience.”
- Apple is not allowing sideloading, and it is making the installation and use of new app stores “difficult, risky and financially unattractive for developers.”
The group is currently urging the European Union to take “swift, timely and decisive action against Apple.”
Apple is required to comply with the Digital Markets Act by March 7, and the app ecosystem changes are baked into iOS 17.4. The iOS 17.4 update is expected to be released early this week, and alternative app marketplaces, alternative payment methods, and the new terms that Apple has designed for developers will go into effect.
Stay tuned for additional details as they become available.