Apple hikes prices of apps, in-app purchase rates in some countries
The Hindu
Apple’s app store policies have been criticised by developers and regulators in several markets.
Apple is increasing the prices of apps and commission on in-app purchases on its App Store for some countries. The new prices excluding auto-renewable subscriptions, will be effective from October 5 in Chile, Egypt, Japan, Malaysia, Pakistan, Poland, South Korea, Sweden, Vietnam, and all territories that use the euro currency, according to an update in its developer site. India was not in the list of countries.
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For some countries like Vietnam, the price increase reflects the new regulations for Apple to collect and remit applicable taxes like value added tax (VAT) and corporate income tax (CIT), Apple said in the update.
The Pricing and Availability section of My Apps will be updated, once these changes are effective. Developers can change the price of their apps and in-app purchases including auto-renewable subscriptions at any time in App Store Connect, Apple said.
The Cupertino company periodically adjusts its prices in different regions. Last year, the iPhone maker reduced app store prices for euro zone countries to adjust to foreign exchange rates and taxes.
Apple’s app store policies have been criticised by developers and regulators in several markets. Developers consider Apple’s 30% app store commission as an exorbitant amount charged to them. In a legal tussle with Apple, Fortnite maker Epic Games sued the iPhone maker after it removed the hugely popular game from its App Store in 2020.
Fortnite tried to skirt Apple’s 30% commission on in-app purchases by providing alternative payment options outside the App Store, to its users. This did not go well with the tech company.