Apple Modifies App Store Policy in EU to Comply with Digital Markets Act and Avoid Fines

Apple has announced significant changes to its App Store policies for the European Union, allowing developers to distribute iOS apps outside its official App Store. This move comes in response to mounting regulatory pressure from the European Commission, which had previously fined Apple €500 million (about $585 million) for breaching the EU’s Digital Markets Act (DMA), legislation designed to curb the power of large technology companies. The policy change was implemented on the deadline set by the EU, as Apple faced the risk of additional fines that could amount to up to 5% of its average daily worldwide revenue if it failed to comply. The DMA specifically targets so-called ‘gatekeepers’ and requires them to open their digital ecosystems to competitors, aiming to increase competition and consumer choice. Apple has been negotiating with the European Commission for two months following the initial fine, and the new rules will allow developers to communicate and promote offers for purchases made outside the App Store, as well as distribute apps through alternative marketplaces. In addition to these changes, Apple will introduce a new fee structure starting in January 2026. The current ‘core technology fee’—a separate charge imposed on some developers—will be replaced by a commission-based model. This new structure will also include specific fees for developers who choose to steer users to external purchase options. The announcement reflects a broader trend in the EU, where regulators are targeting other tech giants such as Google, Amazon, Meta, and Microsoft under the same DMA rules. Apple has paid the initial fine but plans to appeal the decision on July 7, arguing that the required changes go too far and could negatively impact its business model. The European Commission is now reviewing Apple’s new business terms to determine if they fully comply with the DMA, and will consult with market operators and third parties before making a final decision.