Apple Reduces App Store Fees Amid Growing Developer Backlash
In a major policy shift, Apple announced it will reduce its standard 30% App Store commission to 15% for small developers earning under $1 million annually after fees. The change, effective January 1, 2021, follows mounting criticism from companies like Epic Games and antitrust scrutiny from regulators.
Key Details:
- Eligibility: Developers with <$1M annual revenue (post-Apple fees)
- Impact: Affects “vast majority” of App Store developers
- Timeline: Full criteria to be released in December 2021
Apple CEO Tim Cook framed the move as supporting entrepreneurship: “The App Store has been an engine of economic growth… helping developers fund small businesses and take risks on new ideas.”
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