Apple was Compelled by Regulators to expand its Payment Alternatives.
Apple has stated that Third-Party Payment Systems will be allowed in the Dutch App Store for dating apps. Apple is making the step in order to comply with requirements from the Dutch Authority for Consumers and Markets (ACM).
The ACM acted following an investigation that began in 2019 when Tinder’s Parent Company, Match Group, protested about Apple’s App Store guidelines. Even though Apple is contesting the ACM’s decision to require third-party payments, it must nevertheless comply. At least for the time being.
Apple is adhering to legislation mandating it to accept alternate payment methods in the App Store once again, though this one is somewhat particular. According to Reuters, Apple has stated that it will follow directives from the Netherlands’ Authority for Consumers and Markets to allow third-party payment systems in Tinder and other locally available dating applications.
On December 24th, the regulator found that Apple had abused its market position by forcing its in-app purchasing platform, and Apple was given until January 15th to make the change or face penalty.
Apple was dissatisfied, as it had been with previous selections. It said that permitting third-party alternatives would “damage the user experience” while also introducing new privacy and security risks, and reminded developers that refunds and other issues would be handled by them (or their payment partners). Apple has filed an appeal with the ACM, but it has stated that it will continue to receive commissions from third-party payments.
Other apps available in the Netherlands are unaffected by the order. It does, however, represent growing regulatory criticism to Apple’s App Store business model in a number of nations, including the United States and South Korea. Officials are increasingly convinced that Apple is stifling competition with its in-app purchasing requirement, and it won’t be unexpected if more countries follow suit soon.
It’s unclear how many developers in this one specific category of one specific App Store will take advantage of these improvements, but it’ll be fascinating to see how things turn out. The eyes of the entire world will be on you. Apple’s App Store payment structure, as well as the company’s refusal to do what it did in the Netherlands, is causing anxiety among governments throughout the world. Will it be the Armageddon that Apple has predicted?
Apple has made it quite clear that it does not approve of dating app developers using third-party payment processors. Everything about the news statement, from the tone to the extra hoops developers must jump through, demonstrates the company’s displeasure with the ACM’s orders.
Developers are still one step closer to being allowed to provide in-app purchases that aren’t limited to Apple’s payment system. Of course, this is assuming Apple’s bid to overturn the ACM’s directives fails. Otherwise, it’s just a waste of time for developers.