{"id":7758,"date":"2022-06-12T14:46:23","date_gmt":"2022-06-12T14:46:23","guid":{"rendered":"https:\/\/scienceandnerds.com\/2022\/06\/12\/apples-giving-up-ground-in-its-app-store-fight-with-dutch-regulators-and-tinder\/"},"modified":"2022-06-12T14:46:25","modified_gmt":"2022-06-12T14:46:25","slug":"apples-giving-up-ground-in-its-app-store-fight-with-dutch-regulators-and-tinder","status":"publish","type":"post","link":"https:\/\/scienceandnerds.com\/2022\/06\/12\/apples-giving-up-ground-in-its-app-store-fight-with-dutch-regulators-and-tinder\/","title":{"rendered":"Apple\u2019s giving up ground in its App Store fight with Dutch regulators and Tinder"},"content":{"rendered":"<p>Source: <a href=\"https:\/\/www.theverge.com\/2022\/6\/10\/23163277\/apple-third-party-payment-rules-update-acm-dutch-dating-apps-netherlands\">https:\/\/www.theverge.com\/2022\/6\/10\/23163277\/apple-third-party-payment-rules-update-acm-dutch-dating-apps-netherlands<\/a><br \/>\n<code><br \/><\/br><\/code><\/p>\n<div readability=\"155.23765724334\">\n<p id=\"hhaaO5\">Apple <a href=\"https:\/\/developer.apple.com\/news\/?id=3bttqj0z&#038;1654894572\">announced on Friday<\/a> that it once again updated its rules about how Dutch dating apps can use third-party payment systems, after the company had \u201cproductive conversations with the Netherlands Authority for Consumers and Markets (ACM).\u201d <\/p>\n<p id=\"MiNfTE\"><a href=\"https:\/\/developer.apple.com\/support\/storekit-external-entitlement\/\">The updated rules<\/a> give developers more flexibility about which payment systems they use, change the language users see when they go to pay, and remove other restrictions that the previous rules put in place. The ACM <a href=\"https:\/\/www.acm.nl\/en\/publications\/acm-apple-changes-unfair-conditions-allows-alternative-payments-methods-dating-apps\">has expressed approval<\/a> of these changes, noting Apple \u201cwill meet the requirements&#8230; set under European and Dutch competition rules.\u201d<\/p>\n<p id=\"V33v5l\">While the rules aren\u2019t wide-reaching (again, they only apply to Dutch dating apps), they do show what Apple\u2019s willing to do to comply with government regulation \u2014 which it could be facing a lot more of as the EU and US <a href=\"https:\/\/www.theverge.com\/2022\/3\/24\/22994234\/eu-antitrust-legislation-dma-digital-markets-act-details\">gear up to fight tech monopolies<\/a>, and potentially even force the company to <a href=\"https:\/\/www.theverge.com\/2022\/6\/8\/23159686\/iphone-usbc-european-union-harmonized-charger-legislation-ewaste\">ditch the iPhone\u2019s Lightning port<\/a>.<\/p>\n<div class=\"c-float-right\">\n<aside id=\"70nPGU\"><q>Dutch regulators haven\u2019t been thrilled with Apple\u2019s previous solutions<\/q><\/aside>\n<\/div>\n<p id=\"HImlZ2\">In December the ACM <a href=\"https:\/\/www.theverge.com\/2021\/12\/24\/22852966\/apple-netherlands-dating-apps-match-tinder-app-store-competition\">announced a ruling<\/a> that Apple had to let dating apps use payment services besides the one built into iOS, after the regulator received a complaint from Match Group, the company behind dating services like Tinder, Match.com, and OkCupid. Since then, Apple has <a href=\"https:\/\/www.theverge.com\/2022\/2\/14\/22917514\/apple-netherlands-dating-apps-external-payment-processors-in-app-commission-acm\">proposed<\/a> a <a href=\"https:\/\/www.theverge.com\/2022\/3\/30\/23003571\/apple-app-store-netherlands-acm-alternate-payment-systems-binaries-ios\">variety<\/a> of solutions for complying with the order, which the regulator has said <a href=\"https:\/\/www.theverge.com\/2022\/5\/2\/23053935\/apple-app-store-acm-proposal-rejected-further-fines-dating-apps\">aren\u2019t good enough<\/a>. In May, the ACM said that Apple\u2019s most recent rules, the ones prior to the Friday update, were improvements over its past ideas, but that they still didn\u2019t comply with Dutch and European laws. <\/p>\n<p id=\"0QCL2w\">There\u2019s been increasing pressure for Apple to comply: even while the company works on changes, it\u2019s been <a href=\"https:\/\/www.theverge.com\/2022\/3\/28\/22999998\/apple-bigger-fine-proposal-dutch-regulator-acm-netherlands-dating-apps\">racking up tens of millions of Euros<\/a> in fines.<\/p>\n<p id=\"GMzZIV\">The changes Apple announced on Friday are a significant update to its previous proposal, which it <a href=\"https:\/\/www.theverge.com\/2022\/3\/30\/23003571\/apple-app-store-netherlands-acm-alternate-payment-systems-binaries-ios\">published in March<\/a>. The rules still make developers show users a message before they\u2019re shown the third-party payment screen, which can be either in the app, or on an external website, but Apple\u2019s new proposed language is less likely to scare potential customers off in my opinion. <\/p>\n<p id=\"onpX9k\">Originally, the proposed language read:<\/p>\n<blockquote readability=\"12\">\n<p id=\"psO2uB\">This app doesn\u2019t support the App Store\u2019s payment system.<\/p>\n<p id=\"qzJoXS\">All purchases in this app will be managed by the developer \u201c<Developer Name>.\u201d You will no longer be transacting with Apple. Your stored App Store payment method and related features, such as subscription management and refund requests, will not be available. Apple is not responsible for the privacy or security of transactions made with this developer.<\/p>\n<\/blockquote>\n<p id=\"oSq1wH\">Now, it reads:<\/p>\n<blockquote readability=\"14\">\n<p id=\"ySSsoF\">Your payment will be managed by the developer. You will no longer be transacting with Apple.<\/p>\n<p id=\"laJPcn\">All purchases in this app will be processed by a service provider selected by the developer \u201cdeveloperName\u201d. The developer will be responsible for the payment methods and related features such as subscriptions and refunds. App Store features, such as your stored App Store payment method, subscription management, and refund requests, will not be available.<\/p>\n<\/blockquote>\n<p id=\"6qEtwo\">The options users will see on the prompt are also different. Before, they would see buttons to \u201cContinue\u201d or \u201cCancel.\u201d Those have been replaced with a button that says \u201cI Understand.\u201d The messages users will see if the developer links them out of the app (to a third-party payment site) have also gotten rewrites in the same vein.<\/p>\n<div class=\"c-float-right\">\n<aside id=\"UdKPV5\"><q>Apple will let devs tell you how much something costs before you click their link<\/q><\/aside>\n<\/div>\n<p id=\"FDXlqh\">Under Apple\u2019s new rules, developers also won\u2019t have to choose between a third-party in-app payment or an external payment link; they can use both if they want, which wasn\u2019t previously the case. They\u2019ll also be able to show how much something will cost \u2014 Apple\u2019s removed a rule saying that a link to an external payment couldn\u2019t include \u201cthe price of items available on the website you own or have responsibility for.\u201d<\/p>\n<p id=\"GpH2qi\">The old rules, which you can read <a href=\"https:\/\/web.archive.org\/web\/20220524061736\/https:\/\/developer.apple.com\/support\/storekit-external-entitlement\/\">from this web archive here<\/a>, had specific requirements for third-party payment processors if a developer wanted to use their services in their app. Before Friday\u2019s changes, developers would have to find a processor that supported things like:<\/p>\n<ul>\n<li id=\"Poj8Zb\">\u201cPayment method offering and diversity (support for credit cards, debit cards, etc.)\u201d <\/li>\n<li id=\"oJq1Nf\">Value-added services such as transaction tax management and handling<\/li>\n<li id=\"PqNBKP\">Payment security and privacy policies that \u201cexceed Level 1 Payment Card Industry compliance\u201d <\/li>\n<\/ul>\n<p id=\"0njuyi\">The rules also dictated how reliable the payment processor had to be, saying that it had to have 99.9 percent availability and respond to requests within 300 milliseconds. Apple still has some requirements for third-party payment processors, but they appear to be significantly broader \u2014 now they\u2019re things like \u201cmeets Level 1 Payment Card Industry (PCI) compliance for handling credit and debit card data\u201d and \u201cdenominates all prices for the sale of digital goods and services to users in the Netherlands in the euro currency.\u201d<\/p>\n<p id=\"tP8cZr\">Apple also says it\u2019s updated the third-party payments commission structure. The previous rules made it seem like Dutch dating app devs would <a href=\"https:\/\/www.theverge.com\/2022\/2\/4\/22917582\/apple-netherlands-antitrust-27-percent-commission-alternative-in-app-payment-systems\">have to pay a 27 percent commission<\/a> on third-party transactions no matter what. While that\u2019s a three percent discount from Apple\u2019s standard 30 percent cut on in-app purchases, having to pay 27 percent would be a significant increase from the 15 percent that developers in the App Store Small Business Program pay, or from the 15 percent that developers pay out of their recurring subscription revenue after users have maintained their subscription for a year.<\/p>\n<aside id=\"Gef9Xm\">\n<\/aside>\n<p id=\"yDhp9A\">Now, Apple says that it\u2019s offering a three percent discount when you go through a third-party payment processor, period \u2014 if you would\u2019ve paid Apple 30 percent, you\u2019ll now pay it 27, and if you would\u2019ve paid 15 percent, you\u2019ll pay 12. While such a small discount is still a clear message from Apple that developers just shouldn\u2019t bother looking elsewhere (especially given the extra work involved, and the fact that third-party payment systems will have their own fees), the change at least means that smaller developers won\u2019t be paying the iPhone maker a higher percentage if they choose to go third-party. <\/p>\n<p id=\"Z8StnD\">The ACM doesn\u2019t seem to have taken issue with Apple\u2019s commission structure in its previous rebuttals of the company\u2019s proposals.<\/p>\n<p id=\"Fp1NS9\">\u201cWe are glad that Apple has finally brought its conditions in line with European and Dutch competition rules,\u201d Martijn Snoep, the chairman of the board of the ACM, <a href=\"https:\/\/www.acm.nl\/en\/publications\/acm-apple-changes-unfair-conditions-allows-alternative-payments-methods-dating-apps\">said in a statement<\/a>. \u201cThat offers app providers more opportunities to compete. And consumers will ultimately reap the benefits, too.\u201d<\/p>\n<p id=\"PwbBWH\">In <a href=\"https:\/\/developer.apple.com\/news\/?id=3bttqj0z&#038;1654894572\">its Friday news post<\/a>, Apple makes it clear that it\u2019s not particularly happy about the situation it\u2019s in. \u201cBecause Apple is committed to constructive engagement with regulators, we\u2019re making the additional changes at the ACM\u2019s request,\u201d the company says, but also that it doesn\u2019t believe some of the changes \u201care in the best interests of our users\u2019 privacy or data security.\u201d The company also reiterates that it disagrees with the original order and is appealing it.<\/p>\n<p id=\"EHBihw\"><em><strong>Update June 11th, 8:40AM ET: <\/strong><\/em><em>Updated to note that the ACM has approved the changes, and also added a statement from the chairman of the board of the ACM.<\/em><\/p>\n<\/div>\n<p><code><br \/><\/br><\/code><\/p>\n<p>Source: <a href=\"https:\/\/www.theverge.com\/2022\/6\/10\/23163277\/apple-third-party-payment-rules-update-acm-dutch-dating-apps-netherlands\">https:\/\/www.theverge.com\/2022\/6\/10\/23163277\/apple-third-party-payment-rules-update-acm-dutch-dating-apps-netherlands<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Source: Apple announced on Friday that it once again updated its rules about how Dutch dating apps can use third-party payment systems, after the company had \u201cproductive conversations with the Netherlands Authority for Consumers and Markets (ACM).\u201d The updated rules give developers more flexibility about which payment systems they use, change the language users see [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":7759,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"nf_dc_page":"","om_disable_all_campaigns":false,"pagelayer_contact_templates":[],"_pagelayer_content":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[14,8],"tags":[9],"class_list":["post-7758","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-apple","category-technology","tag-apple"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v23.8 - 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