Industry

Apple has come to an agreement with Dutch regulators over an ongoing dispute over dating apps being able to use third party payment systems.

After weeks of being fined for non-compliance, the tech giant has finally reached an accord with the Authority for Consumers and Markets (ACM). According to Tech Crunch, the details are still vague, but the agreement basically follows the original proposal Apple submitted with a few significant changes, such as not requiring dating apps to create a separate binary app for third party payment systems.

Apple confirmed that they might do one of the following as it pertains to the agreement, which doesn’t make clear what developers can expect going forward. The tech giant said that dating apps might: continue to use Apple’s in-app purchase system; use a third-party payment system in the app that people can choose; include an in-app link directing users to the developer’s website to complete a purchase; or lastly, use a third-party payment system within the app and include a link directing people to the developer’s website to complete a purchase, according to Tech Crunch.

The FTC (Federal Trade Commission) is suing Match Group for hindering its investigation into OkCupid. The dating app, owned by Match, shared a user’s photo with facial recognition company Clarifai.

According to Bloomberg and BiometricUpdate.com, the FTC found that Clarifai was using the image without the user’s consent or knowledge, violating Illinois’ Biometric Information Privacy Act. The government agency also said that it filed the lawsuit because its investigation was being “stonewalled by Match Group.” OkCupid originally shared the image with the AI company back in 2014.

OkCupid user Jordan Stein, whose image was shared without her knowledge or consent, brought a lawsuit against Clarifai as a result, but in March of last year, a judge ruled that Clarifai could not be sued for violating Illinois’ law because it was out of its jurisdiction. 

Meta, the parent company of Facebook, Instagram and other popular social platforms, has frozen hiring of new staff for some of its divisions, including Facebook Dating.

Meta’s stock price is down almost 43 percent this year, and the company has gotten serious about streamlining its business. It has stopped hiring for certain engineering roles, but also for recruiters and low-level data scientists, according to The Verge. Facebook Dating has had disappointing results despite high expectations when it first launched.

Reviews show that many Facebook Dating users were having problems matching when they used the service and blamed the problem on fake profiles proliferating on the app. Considering the number of dating apps which use Facebook’s authentication system to verify new profiles, it should be easier for the company to get rid of fake accounts to create a better experience for users.

Shares of dating company Bumble Inc rose 11 percent after news of the company’s earnings were released, with revenue beating analyst expectations.

According to Reuters, the number of total paying users across Bumble properties increased by 7.2 percent to 3 million during the first quarter of this year, increasing revenue to $211.2 million, surpassing analyst expectations of $208.30 million. Bumble apps include its signature apps, Badoo, and French dating app Fruitz among others.

Research firm Apptopia also found that Bumble downloads in the U.S. increased 20.6 percent during the first quarter, and monthly average users rose 13.7 percent compared to the same quarter last year.

Match Group has sued Alphabet Inc.’s Google to avoid being kicked out of its Play Store. The dating app conglomerate has refused to pay the required 30 percent commission of its in-app sales to the tech giant. Match joined with other companies like Epic Games in fighting Google, citing its hold on app developers to prevent them from using third party payment systems.

Google said they will block downloads of Match’s dating apps starting June 1st if they don’t comply with Google’s contract and payment system and share the revenue from in-app sales, according to Reuters. Apple is fighting similar issues with Match Group in The Netherlands, where Dutch regulators have required Apple to allow third party payment platforms for dating apps. Apple has allowed third party providers but so far has not compromised on their commission, charging app developers 27 percent even if they use a third-party payment platform and not Apple’s. 

"These exorbitant 'fees' force developers to charge users more for their services and utilize resources they would otherwise invest in our employees, technologies, and user-requested features," Match Group said when it announced its lawsuit. "In addition, monopolizing the market for in-app payments will further cement Google's near-total control of the Android ecosystem."

Dating app Grindr announced it will become a public company through a merger with Tiga Acquisition, and that the combined companies have been valued at $2.1 billion.

According to Bloomberg News, Tiga is a special acquisition company and isn’t offering any private investment in public equity (PIPE) deals but will provide Grindr with an estimated $384 million in cash proceeds, which includes $284 million of Tiga’s cash in trust plus up to $100 million in a forward purchase agreement. The company will use the funds to pay down debt and invest in future growth.

Grindr had several offers from other SPACs before merging with Tiga.