Collective Action Settlement: Apple is involved in green first: Apple changes App Store terms | newsletter

The US company said that in the future, software developers will be able to tell their customers how to pay for services regardless of the Apple ecosystem. The changes are set to come as part of a proposed class-action lawsuit settlement that has yet to be approved by District Judge Yvonne Gonzalez Rogers. In 2019, a group of app providers sued Apple, accusing the company of violating antitrust law in running its App Store.

The changes announced now make it easier for app developers to be paid directly by customers instead of using the App Store, where Apple charges a commission of up to 30 percent. The company had previously prevented developers from using information about customers they received through Apple to inform them directly about other payment options. A potential settlement removes that ban, according to the plaintiffs. According to Apple, consumers must consent to such communication.

Last year, the group cut most commissions for developers who didn’t generate more than $1 million in revenue through the software platform to 15%, and the comparison now solidifies that change. Apple will also launch a $100 million fund for small developers. The Small Developer Assistance Fund is designed to enable developers with revenues of less than $1 million annually between June 2015 and April 2021 to receive between $250 and $30,000 USD. According to the plaintiffs, more than 99 percent of developers will benefit from it.

Apple shares temporarily rose 0.52 percent to $148.31 in premarket Nasdaq trading.

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