Reportedly, the Netherlands Authority for Consumers and Markets (ACM) has rejected Apple Inc’s proposed changes on the App Store. These changes are the ones that would enable dating app developers to use third-party payment options. In December, the Dutch regulator had ordered the necessary changes, moving back and forth with the tech giant over its implementation. All this while, Apple had faced fines over 5 times, and is expected to face more penalties.
According to a translated from a tweet, the regulator stated that the tech giant’s latest proposal for allowing developers to use payment systems is an ‘improvement’ from the last one. However, it is still not enough to ‘comply with European and Dutch regulations.’
Submitted on Sunday, March 27, Apple’s last proposal states that dating app ‘devs’ could use either Apple’s payment system or a third-party one, but not both. Moreover, it said that developers would have to let users know that they would be interacting with a system that was not controlled by Apple. The tech giant additionally stated that developers using alternative system would still owe Apple a 27% commission on in-app sale. This is as opposed to the 30% that the company takes from most in-app using its own outlet.
ADVOCATES WORRY APPLE’S PROPOSALS WOULD MAKE USING THIRD-PARTY PAYMENTS DIFFICULT OR UNAPPEALING.
Previously, Apple had proposed that these developers, which are only ones affected by the ACM’s orders, that they may have to give separate versions of their apps for the Netherlands. However, March’s plan dropped as the regulator rejected the proposal prior to his.
Later on in March, the regulator stated that it was analysing the tech giant’s proposal following imposing fines of about $55 million. The ACM said that it could ‘impose’ yet another order subject to periodic payments in case they found their proposal rather insufficient. It went on to evaluating as the penalties reached $5.6 million each week it did not comply.
The Coalition for App fairness was applauded by decision of the ACM. Companies such as Spotify, Epic Games, Spotify, Basecamp, and Match group. In a statement from this week, the group stated that it is ready to show ‘support to the ACM as it continues to seek equal treatment and help to developers. Moreover, the coalition stated that Apple ‘rejected proposal’ imposed baseless requirements ‘creating friction with the goal to discourage dating app developers’ from benefitting from this order.