Apple's Latest Strategy to Navigate EU Fines Criticized by Epic CEO Tim Sweeney
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Apple's Latest Strategy to Navigate EU Fines Criticized by Epic CEO Tim Sweeney

Apple has introduced a tiered commission structure for App Store developers in response to hefty EU fines, facing criticism from Epic Games' Tim Sweeney for being unlawful.

Apple has unveiled a new attempt to adhere to EU regulations while maximizing its revenue from app sales. Announced recently, this strategy introduces a tiered commission structure that adjusts the fees based on payment levels from developers.

At the entry-level tier, developers will incur a low 5% commission on all in-app purchases but will be limited to basic services. To access additional features such as automatic updates and comprehensive support, developers will need to pay a higher fee of 13%.

Epic CEO Tim Sweeney criticized this new model, describing it as “blatantly unlawful in both Europe and the United States” and undermining competition in digital markets. He stated:

“Apple’s new Digital Markets Act malicious compliance scheme is blatantly unlawful in both Europe and the United States and makes a mockery of fair competition in digital markets. Apps with competing payments are not only taxed but commercially crippled in the App Store.”

This change follows Apple’s recent $570 million fine in Europe for its restrictive payment practices. As the EU prepares to review Apple’s new proposals, stakeholders await the outcome, which could trigger further fines for the tech giant.

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