Apple is telling a Luxembourg court that the EU’s Digital Markets Act isn’t doing what it promised: lowering app prices for consumers. In its challenge, the company argues that the law has increased compliance burdens, delayed features for users in the bloc, and failed to deliver meaningful benefits to the people it was designed to help.
The DMA labels certain large platforms as gatekeepers—companies deemed to have such market power that they could stifle competition. Apple received that designation for exceeding the law’s user thresholds and for its control of the App Store, which led regulators to require support for third‑party app stores on Apple devices.
To comply, Apple reshaped its EU developer terms in March 2024. Developers who opted in could pay a lower commission on in‑app purchases compared to the standard 15 to 30 percent, while apps exceeding one million annual installs incurred a Core Technology Fee of EUR 0.50 for each first annual install by an EU account. Apple plans another adjustment on January 1, moving to a 5 percent Core Technology Fee, and outlining that developers who use external payment options could face up to 20 percent in combined fees: a 2 percent initial acquisition fee, 13 percent in store service fees, and the 5 percent Core Technology Fee. Even then, Apple notes, that total still sits below the traditional 30 percent App Store commission.
In court, Apple leaned on new data suggesting that lower fees haven’t translated into lower prices. According to the study it cites, the revised terms cut average App Store commissions by around 10 percent, producing EUR 20.1 million in cumulative savings. Most of those savings—roughly 86 percent—went to developers outside the EU. Meanwhile, about 90 percent of developers did not reduce prices for end users and, in many cases, raised them. Price cuts occurred in only about 9 percent of instances and followed the same general patterns historically seen in pricing changes. The study’s broader conclusion is that when commissions go down, developers typically keep the difference rather than pass it on to consumers—an outcome Apple says it has observed with previous fee reductions as well.
The company contends this undercuts the DMA’s core promise of cheaper apps and subscriptions. It also argues that conforming to the new framework has increased operational complexity and costs, slowing down the rollout of certain features for EU users.
The fight over app distribution and payment rules isn’t confined to Europe. In the United States, a high‑profile case forced Apple to allow access to external payment methods and to restore Epic’s Fortnite to the App Store. Apple maintains it can still charge commissions on purchases made through external systems, a stance that prompted the judge to warn of possible contempt if it continues. The ripple effect is spreading to other markets as well: in Australia, Epic is pushing to sideload its apps without any associated commission, and in China, a group of about 55 consumers has filed an antitrust complaint arguing that Apple holds a monopoly over app distribution and payments, even as it accommodates alternative models in other regions.
What’s next could reshape how apps are distributed and paid for across multiple continents. If Apple succeeds in its EU challenge, the DMA’s most consequential rules for app stores may be revised or rolled back. If the law stands as is, expect continued experimentation with fees, third‑party stores, and payment options—and an ongoing debate over whether any of it will actually make apps cheaper for consumers.
