Apple was accused by app developers last week of turning a settlement in a lawsuit into an App Store update that was barely a significant change. However, Apple appears to have made a small concession today. Apple will allow developers of reader apps (think Netflix and Spotify) to link directly to their sign-up websites, which could enable them to bypass Apple's in-app payments system (30 percent cut).
Apple released a statement claiming that the move will close an inquiry by the Japan Fair Trade Commission. It also stated that it will only apply to the reader apps currently in use. This category was originally created by Apple to please companies like Netflix and Hulu. Users can sign into their existing accounts instead of signing up via the App Store and paying Apples fees.
In a press release, the JFTC confirmed the agreement, saying that Apple's move would end the suspicion of violating the Antimonopoly Act. It also stated that Apple has committed to reporting on app review transparency at least once per year for the next three-years. The JFTC claims that Apple suggested changing its guidelines for app reviews in response to the investigation.
Netflix can't be signed up in the app. It's a hassle, we know.
The Netflix and Spotify apps for iOS are currently inaccessible if you don't have a subscription. They only provide a sign-in page with no link to their website and a cheeky apology. The app doesn't allow you to sign up for Netflix. It's a hassle, we know. Read the Netflix apps splash page. Amazon Kindle app offers a simple Create a new Amazon Account page within the app. However, it doesn't allow you to buy books there or in the standard Amazon app. To purchase, you will need to use a mobile browser.
Apple states that the rule change is very limited in scope. It claims that it has only allowed developers of reader apps to share one link to their website. This will allow them to protect their users from being redirected to external websites to make purchases. Apple will also have guidelines regarding how these links will appear. It is not clear if developers will be allowed to mention pricing.
There are as many questions and answers as there are:
Apple can still define reader app via fiat
Apps that explicitly mention price or payment can they?
- Only one link - where does that go? Are there rules?https://t.co/KuKgj9dXuW Dieter Bohn (@backlon) September 2, 2021
It is also important to note that Apple rejected the Hey email application and that even though it later changed that controversial decision, Apple was clear that email apps did not count as reader applications. This applies even if you subscribed outside of the app. The only thing you can do with an account without one is sign in. Apple decides which apps are reader apps.
Apple might also be redefining the meaning of a reader application: Although Apple's App Review Guidelines suggests that readers can access content previously purchased (presumably along with in-app purchases like Netflix), Apple's press release clarifies that reader apps developers do not offer digital goods or services that are available for purchase.
This would mean Apples will only offer this exception to companies who don't contribute any in-app purchases commissions to Apple. These include Spotify, Apple's harshest critics.
Apple's anti-steering policies have been criticized by some who suggested that they could charge less to users if they directed them to their website rather than Apples IAP. This would allow them to pass on the savings and not have to pay Apple an additional 30 percent. Apple's new rule will not allow for this idea if Apple's reader category does not include apps that offer IAP.
We may not know the answers for these questions until the future. Apple claims that the rule will not be in effect until 2022.
