Content creators who have been leveraging Patreon as a source of supplementary income are about to face a significant challenge due to a recent policy change from Apple. In a significant update, it has been revealed that Apple is imposing a new requirement whereby Patreon must pay a 30 percent commission on all in-app purchases as well as on new memberships obtained through its iOS app.
This development has put Patreon in a difficult position. Notably, if the company does not adhere to these new rules by November, Patreon’s app could be removed from the iOS App Store. As a direct consequence of Apple’s firm stance, creators using Patreon will now need to transition to the platform’s subscription billing method in order to continue monetizing via the iOS application. This change results in Apple’s 30 percent commission being applied to both the initial sign-up of a new membership and its subsequent renewals through the app.
Patreon has expressed its commitment to creators and its frustration with Apple’s demands, highlighting that its models of flexibility and creator-first policies are not aligned with Apple’s in-app purchase system. As a workaround to mitigate the potential financial burdens on creators, Patreon has suggested that prices for services accessed via the iOS app could be automatically raised.
The impact of this policy begins on November 4, at which point Apple’s fee will apply to all new memberships processed through the iOS app, though existing memberships will not be subjected to the new charge. Beyond the new Apple commission, Patreon already deducts a percentage of the earnings from creators, typically ranging from 8-12 percent of membership subscriptions, in addition to payment processing fees and a 5 percent take from sales of digital products.
In light of this development, Patreon has proposed that creators encourage their supporters to process transactions via the Patreon website or through Android devices, which could avoid the additional fees imposed by Apple’s policy.
The tech community has already seen reactions to these changes, with Epic Games CEO Tim Sweeney criticizing the policy, indicating the broader discontent with Apple’s commission structures.
The situation highlights the ongoing tensions between app developers, content platforms, and the major operating system vendors over the nature of revenue sharing and control of the digital marketplace.
For creators, it’s a time to reassess strategies for engaging with their fanbase and sustaining their income streams, potentially by promoting alternative channels for subscription and support that circumvent the hefty fees imposed by in-app purchasing systems.
The discourse around Apple’s policies and their impact on smaller companies and individual creators continues, as this development with Patreon serves as the latest chapter in a complex narrative about the future of digital content monetization. It remains to see how creators and platforms will adapt to these industry shifts in order to thrive within the evolving digital landscape.
