Yesterday’s big court ruling against Apple is opening the floodgates for developers to offer their own in-app payment options with no Apple fees. As a result, unsurprisingly major companies like Spotify, Patreon, and more have confirmed they’re hard at work preparing updates to bypass Apple’s payment system and 30% fee.
Alternate payment options may start appearing in apps very soon
Jay Peters writes at The Verge:
“This is a huge moment for creators and their businesses,” Taylor says. “The iOS app is the number one platform for fan engagement on Patreon, and we believe this ruling allows creators to get paid without giving Apple 30 percent. As a first step, we will submit an app update for review by Apple to enable payments outside of IAP so creators keep more from iOS based fan payments.”
[…]
Spotify told The Verge last night the company is also planning an update in response to the ruling. “Spotify will move quickly to submit an app update to Apple, enhancing the experience for our consumers across the United States,” spokesperson Jeanne Moran said.
Proton’s CEO similarly posted on X that the company would be able to lower prices for users “by up to 30%.”
Top comment by Blurft
Proton’s CEO similarly posted on X that the company would be able to lower prices for users “by up to 30%.”
I expect that some companies may actually lower their prices to effectively lock Apple into keeping this privilege long term, making it very uncomfortable for Apple to try revoking the privilege and appear to raise prices in the future even if they do win on appeal.
Use Proton as an example. Let's say they could just keep the extra 30%, but customers wouldn't notice a difference and wonder what the fight was all about. But if Proton cuts prices by 15%, they'll still get to pocket the other 15% and present it all as "Look how Apple getting out of the way here helps you, the customer, save money! Keep Apple out of these transactions!"
In a situation like that, Apple trying to revoke this privilege in the future would be seen by consumers as clearly raising prices beyond that they were without Apple's involvement. That would not be good press for Apple.
By lowering prices even a little bit right now, developers may sacrifice short-term profits but gain consumer support for keeping Apple out of these transactions, which would likely benefit those developers in the long-term.
With larger players like Stripe and Epic Games offering their own tools to help developers implement new payment systems, it seems only a matter of time before many more major apps enable third-party payment options.
9to5Mac’s Take
Apple has already said it is appealing the court’s decision. However, while that appeal plays out the company has agreed to comply with the court’s order.
And while the chances of a successful appeal feel slim anyways, once users start seeing alternate payment options in all their favorite apps, I can’t imagine Apple successfully taking that privilege back.
What do you think will happen with in-app payment options in the future? Let us know in the comments.
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