Apple Updates App Store Terms After Criticism From European Commission

Apple is changing its Digital Markets Act compliance plan in response to the European Commission’s accusation that the company is stifling competition on its App Store.

“We’re introducing updated terms that will apply this fall for developers with apps in the European Union storefronts of the App Store that use the StoreKit External Purchase Link Entitlement,” Apple said in a Thursday (Aug. 8) announcement.

One of the key changes is that developers can promote offers for purchases available at a destination of their choice, including another app marketplace, app or website, according to the announcement.

“Developers may design and execute within their apps the communication and promotion of offers,” the announcement added. “This includes providing information about prices of subscriptions or any other offer available both within or outside the app, and providing explanations or instructions about how to subscribe to offers outside the application.”

Other key changes allow developers to use an actionable link that can take users to their destination, to use any number of URLs, and to provide links with parameters, redirects and intermediate links to landing pages, per the announcement.

“Updated business terms for apps with the External Purchase Link Entitlement are being introduced to align with the changes to these capabilities,” the announcement said.

Apple said in the update that it made these changes in response to a June announcement by the European Commission.

That announcement, in which the European Commission accused Apple of stifling competition in its App Store, marked the first time that European Union regulators used new digital rules against a Big Tech company, PYMNTS reported at the time.

The accusations came as part of the EU’s effort to enforce its Digital Markets Act, which aims to open the market and level the playing field for startups.

One of the main concerns raised by the regulators focused on the restrictions Apple imposes on developers’ ability to direct their customers to promotions outside the App Store.

Margrethe Vestager, the EU’s executive vice president in charge of digital policy, said at the time: “The DMA is not an excessive ask. [It] is plain vanilla to ask for a fair, open and contestable marketplace.”