After trying, and failing, to delay the matter, Apple has finally revealed how much it wants to charge developers on purchases made through external links inside iOS apps. In a new filing with the U.S. District Court of Northern California, Apple proposed commissions of up to 15% on standard apps, with steeper discounts available for developers enrolled in specific Apple programs.
What Apple Is Actually Proposing
According to the filing, Apple’s proposed commission structure breaks down as follows:
- Standard apps: 15% commission
- Small business developers: 5% commission
- Video Partner Program, News Partner Program, and Mini Apps Partner Program: 10% commission
- Subscription renewals: reduced to 10%
This is Apple’s answer to a long-running legal fight over whether, and how much, it can charge developers when customers make purchases through links that direct them outside the App Store entirely, a practice Apple has historically restricted or taxed heavily.
The Legal Battle Behind This Filing
This proposal is the latest chapter in Apple’s years-long legal battle with Epic Games over allegedly anti-competitive App Store policies. Apple had been trying to delay revealing its commission structure, arguing that the lower court proceedings should pause until the Supreme Court ruled on a separate but related question: whether Apple was in contempt of a prior court order when it imposed a 27% commission on external link purchases and restricted how developers could present those links to customers.
The Supreme Court rejected Apple’s request to pause the case, forcing the company’s hand. This week’s filing is Apple’s response, revealing its next proposed commission structure now that the higher court has declined to intervene.
Apple’s Justification
Apple’s core argument is that it’s entitled to charge fees on purchases made by users of its own devices, framing these commissions as a way to recoup its investment in the tools, technology, and infrastructure that make the App Store and iOS platform possible in the first place. It’s a version of an argument Apple has made consistently throughout this legal battle: that App Store commissions fund a broader ecosystem developers benefit from, not just direct App Store hosting.
Apple also made a direct comparison to a competitor to bolster its case. The company pointed out that Google Play charges 20% link-out rates for standard apps, 15% for apps in special programs, and 10% for subscription renewals, and specifically noted that Epic Games itself had already agreed to those Google Play rates. In other words, Apple is arguing its proposed structure is actually more developer-friendly than the terms Epic accepted from its biggest rival.
Why This Matters for Developers
For app developers, especially those relying on subscriptions or in-app purchases, this proposal directly affects how much revenue they keep when customers pay through external links rather than Apple’s in-app purchase system. A few things stand out:
- The gap between in-app purchases and external link commissions is narrowing. Apple’s standard in-app commission has historically run as high as 30% for many developers, so a 15% external link rate still represents meaningful savings, though it’s a smaller gap than developers pushing for external payment options were likely hoping for.
- Small businesses get a real discount. At 5%, small business developers enrolled in Apple’s Small Business Program get a substantially lower rate, continuing a pattern from Apple’s existing in-app commission structure.
- This isn’t final yet. This is a proposal submitted to the court, not a confirmed rate. The presiding judge still has to weigh in, and Epic Games is likely to push back on aspects of the structure it considers unfavorable.
What Happens Next
With the Supreme Court declining to pause the case, this dispute now moves forward in the lower court, where a judge will need to evaluate whether Apple’s proposed commission structure adequately complies with prior rulings in the Epic Games litigation. Given how contentious this case has been for years, further objections, counter-proposals, and appeals from either side remain likely before any final rate structure is locked in.
Why This Fight Matters Beyond Apple and Epic
This case has become one of the defining legal battles shaping how much control platform owners like Apple can exert over payments happening on devices they manufacture but don’t fully control the commerce within. The outcome will have ripple effects well beyond Epic Games and Fortnite, it directly shapes the economics for every developer building subscription apps, digital goods, or in-app purchases on iOS, an ecosystem that includes everything from dating apps and streaming services to productivity tools and mobile games.
For continuing coverage of the Apple-Epic Games legal battle and the latest App Store policy news, keep following Tech News Reports for ongoing updates.
