Apple (AAPL.O) has made modifications to its proposals in order to comply with the landmark EU tech rules, following criticism from app developers. The company, along with five other tech giants, is required to comply with the Digital Markets Act (DMA) by March 7. The DMA aims to establish a level playing field for rivals and provide users with more choices.
In January, Apple announced proposals that would allow software developers to distribute their apps to users in the European Union outside of Apple’s own App Store, along with new fees and conditions. However, after receiving feedback, Apple has made several changes to address concerns.
One significant change is the removal of the requirement for developers who want to create alternative app marketplaces to have a stand-by letter of credit. This requirement had received criticism from app developers, and Apple has responded by dropping it.
Additionally, Apple has introduced a new option for developers to sign up to the new terms at the developer account level. This change eliminates the previous requirement for each membership to sign the Addendum, which caused inconvenience for developers.
Furthermore, Apple has implemented a one-time option for developers to terminate the Addendum under certain circumstances and switch back to Apple’s standard business terms for their EU apps. This provides developers with more flexibility and choice.
Lastly, Apple has revised its eligibility criteria for developers who wish to operate an alternative app marketplace. Instead of requiring a letter of credit, developers must now meet two criteria: their account must have been in existence for at least two years, and they must have an established app business in the EU with more than 1 million First Annual Installs. This change aims to encourage competition and innovation in the app market.
Apple’s modifications demonstrate their commitment to addressing concerns raised by app developers and complying with the EU tech rules. By making these changes, Apple is working towards creating a more inclusive and competitive environment for app developers and users in the European Union.
