Contributed by: kellyseal on Friday, February 25 2022 @ 10:02 am
Last modified on Friday, February 25 2022 @ 10:16 am
Apple has complied with the rules of Dutch regulators to allow third party payment systems for dating apps instead of going through the Apple Store. However, it will be charging a 27 percent commission to allow these platforms to operate.
Tech Crunch[*1] reported that dating apps in the Netherlands are no longer required to go through the Apple Store for handling payments and billing questions, nor are they required to pay Apple 30 percent for each transaction made over a dating app. The Netherlands Authority for Consumers and Markets previously fined Apple $5 million euros per week until it complied with its order.
However, dating app developers who use a third-party payment system are now required by Apple to pay a new commission of 27 percent, just slightly below the old charge. Apple is also requiring app developers to send a report of digital sales so they can invoice. And as Tech Crunch pointed out, dating app developers looking to expand offerings to the Netherlands will have to submit two different apps for approval – the Dutch app and non-Dutch app.
Apple still plans to fight the initial ruling, arguing that allowing third-party platforms to handle transactions made outside of its platforms creates a privacy and security risk.
“Because we do not believe these orders are in our users’ best interests, we have appealed the ACM’s decision to a higher court. We’re concerned these changes could compromise the user experience, and create new threats to user privacy and data security. In the meantime, we are obligated to make the mandated changes which we’re launching today and we will provide further information shortly,” the company said in January. But by the end of the month, Apple still had not complied and the company was fined the $5 million per week until it resolved the issue.
Part of the motivation for Apple to fight the ruling, according to industry experts, is that it sets a precedent for other countries to force Apple to allow developers to go around its platform and lose the 30 percent commissions it makes on all purchases, which could end up being a giant hit to the company’s revenue stream. However, as the Dutch Authority and South Korea have already brought new regulations for Apple to comply with, others are likely looking to follow suit.
The Dutch Authority hadn’t responded to the new commission as of Tech Crunch’s reporting, but likely won’t allow Apple to continue charging dating app developers who use third party platforms.