Apple updates App Store developer terms in the EU

Effective today, October 1, 2026, Apple will apply a set of unified business terms (UBTs) to apps that developers distribute in the European Union. In short, the UBTs:

• Enable distribution of notarized iOS and iPadOS apps via alternative app marketplaces and/or web distribution, subject to authorization from Apple and compliance with specific criteria and ongoing requirements.
• Permit out-of-app offers using actionable links and/or use of alternative payment methods alongside Apple In-App Purchase (IAP)—though developers must continue to offer links/ alternative payment for 12 months.¹
• Eliminate the currently applicable initial acquisition fee, store services fee, and the core technology fee (CTF),² imposing only (1) a commission for App Store apps (where rates differ by payment option)³and (2) a Core Technology Commission (CTC) on transactions in apps distributed on alternative app marketplaces or via web distribution. By eliminating several of the fees from the modified new business terms (NBTs) and modified old business terms (OBTs), the UBTs reduce total fees for developers.

The UBTs introduce additional changes which, according to Apple, “resolve Apple’s disagreements with the [European] Commission over business terms and alternative distribution.” In particular, Apple claims that the UBTs reduce complexity, a key criticism of the OBTs/NBTs.

That said, it is not clear that all elements of the UBTs are compliant with the European Commission’s (EC) App Store Steering Digital Markets Act (DMA) decision (Steering Decision):

• Fees: The Steering Decision provides that Apple may not charge any fee for steered transactions other than “for the services it provides to enable the first (i.e., initial) matchmaking between an app developer and an end user.”⁵ Such remuneration should “(i) be related both in time and in scope to the initial acquisition; (ii) be commensurate to the initial value of the matchmaking function and must take into account any direct or indirect remuneration received from business users for facilitating the initial acquisition; and (iii) not remunerate the gatekeeper for its gatekeeper value.”⁶ However, under the UBTs:

  o   Apps only offered outside the App Store are subject to a 5% CTC. The CTC “applies to any sales of digital goods or services (including one-time purchases and auto-renewing subscriptions) that are completed” on alternative app marketplaces or websites initiated within seven days after tap or scan of an actionable link.⁷

  o   15% App Store commission on out-of-app purchases using an actionable link is payable on sales of digital goods or services within seven days of a tap or scan of the actionable link.⁸

  o   15% App Store commission on out-of-app offers associated with an actionable link applies to sales of “promoted” digital goods, which includes all digital goods and services usable within an app accessed via an actionable link (regardless of whether the end user tapped the actionable link to purchase the digital good or not).⁹

  

   

  It is not clear how these fees for any/all sales are consistent with the requirement in the Steering Decision that fees only be imposed for initial matchmaking.

• Display prominence: Under the UBTs, developers can offer alternative payment processing if IAP is also presented “at least as prominently as any other payment option.” It is not clear that this is consistent with the Steering Decision prescription that (1) “communications and calls for actions promoting certain distribution channels may not be restricted by Apple in any way;” and (2) “app developers should be effectively allowed in practice to engage in any form of communication and promotion with their acquired end users.¹⁰
• Scare screen: The EC objected to Apple’s “scare screen” proposal because it was presented every time an end user linked out, and it implied an unsubstantiated risk to the privacy and security of end users.¹¹The Steering Decision requires Apple to inform users in a neutral manner that they will transact with the developer directly. The UBT scare screens (for marketplaces or apps from the web or the developer’s own website) still imply negative consequences of linking out. In particular, they include warning prompts that (1) “[y]our device settings do not allow apps by [developer] to be installed directly from the web” (accompanied by an icon with a warning sign); or (2) “[y]our App Store account, stored payment method, and other related features will not be available.”