Apple replaces controversial EU app fees with 5% flat commission

Apple ↗ 1.60% on Tuesday announced it will charge a flat 5% commission on digital transactions in apps distributed outside its App Store in the European Union, replacing a fee structure that EU regulators had criticized as discouraging developers from using alternative distribution channels.

The changes, effective October 1, eliminate the controversial Core Technology Fee — a per-install charge — along with the initial acquisition fee and store services fee that Apple had introduced in its earlier attempt to comply with the bloc's Digital Markets Act. The European Commission said it welcomed the changes and will monitor their implementation.reuters+1

A Simpler Fee Structure

Under the new unified terms, Apple will charge a 26% commission for App Store apps using Apple's own in-app purchase system, dropping to 15% for most small developers and subscription renewals. Apps using alternative payment processing within the App Store face a 20% commission, while apps that link users to external websites for purchases will pay 15%.apple

For apps distributed through alternative marketplaces or the web — the category most affected by the DMA — Apple's new 5% Core Technology Commission replaces what developers and regulators had called an opaque and punitive fee system. Apple said the new terms will resolve its disagreements with the Commission over these issues.reuters

Tracking Rules and Revenue Pressures

Separately, Apple confirmed eight changes to its App Tracking Transparency framework following pressure from Germany's Federal Cartel Office. The modifications include removing the word "track" from consent prompts, changing the color scheme from orange to blue, and allowing developers to re-prompt users annually. The German regulator had found Apple's existing prompts were making app tracking "sound scarier than it really is."9to5mac

The concessions come as Apple faces mounting financial pressure from regulatory actions worldwide. According to Appfigures data cited by the Financial Times, Apple's U.S. commission revenue has fallen 18% since the start of 2026, while Sensor Tower reported consumer spending through the App Store declined 6% in the second quarter.macrumors+1

Global Regulatory Squeeze

Apple said the EU terms will mirror commission-based structures it already offers in Japan and Brazil, both of which have introduced regulations to open up Apple's app distribution model. The company continues to litigate in the United States, where a court injunction won by Epic Games has forced it to allow developers to steer users to outside payment options without collecting a fee since April 2025.macrumors+1

Apple reported services revenue of $30.7 billion for the June quarter — a record but below the $31.4 billion analysts expected — with the company acknowledging during its earnings call that regulatory changes have begun to weigh on growth.macrumors