Apple Overhauls App Store Fees in the EU, Effective October 1
Apple published new App Store business terms for developers operating in the European Union on August 18, 2026, taking effect October 1. The headline change is a restructured Core Technology Commission, but the details matter more than the summary — here's what actually changes, sourced from Apple's own developer news page rather than secondhand coverage.
What's changing: the Core Technology Commission
The old Core Technology Fee — a per-install charge that only kicked in for developers distributing apps at extraordinary scale outside the App Store — is being replaced with a flat 5% commission on digital transactions in apps distributed outside the App Store. That's a structural shift: instead of paying per install regardless of whether that install ever converts to revenue, developers now pay a percentage of what actually transacts. For a small developer with high install counts but low conversion, this is likely a meaningful cost reduction. For a developer with few installs but high-value transactions, it could go the other way.
For context on how tangled this had gotten: the original Core Technology Fee, introduced when the EU's Digital Markets Act first forced Apple to permit alternative distribution in 2024, charged developers €0.50 per first annual install once they passed a free-install threshold — a fee structure critics pointed out could bankrupt a developer with a viral free app and near-zero revenue. Apple revised it again in June 2025 into a three-fee stack: a 2% Initial Acquisition Fee, a 5–13% Store Services Fee, and a 5% Core Technology Commission, all stacked on top of each other depending on which distribution and payment options a developer used. That three-fee stack is what's being dismantled now.
Two fees are eliminated outright
Apple is removing the Initial Acquisition Fee and the Store Services Fee entirely — both were previously charged on top of commission for apps using alternative distribution or payment options in the EU. Combined with the Core Technology Commission restructuring, this simplifies what had become a genuinely confusing multi-fee stack that developers and commentators had criticized since the EU's Digital Markets Act rules first forced Apple to open up alternative distribution in 2024.
Commission rates are also being adjusted
Beyond the fee eliminations, Apple says it's adjusting commission rates across three separate channels: standard App Store transactions, alternative payment processing within apps still distributed through the App Store, and alternatively distributed apps. Apple hasn't published exact percentage figures for each channel in the announcement itself — developers reviewing the change should read the updated Apple Developer Program License Agreement (specifically Attachment 14, which covers EU-specific terms) rather than rely on a summary, this post included.
Alternative payments and marketplaces get real expansion
A few changes worth flagging for anyone building or considering an alternative distribution strategy in the EU:
- Apps can now offer alternative payment options alongside Apple's In-App Purchase system, rather than choosing one or the other
- New child-safety protections are being added specifically for alternative payment flows
- Qualification requirements for operating an alternative app marketplace are expanding — more developers should be eligible to run one
- Distributing apps directly over the web (bypassing app stores entirely) is also getting expanded qualification criteria
The fee stack, before and after
| Fee | Before (June 2025 terms) | After (Oct 1, 2026) |
|---|---|---|
| Core Technology Fee/Commission | €0.50 per first annual install above a free threshold, later replaced by a 5% commission | 5% Core Technology Commission (unchanged rate, simplified scope) |
| Initial Acquisition Fee | 2% on certain transactions | Eliminated |
| Store Services Fee | 5–13%, tiered | Eliminated |
| Alternative payments alongside IAP | Not permitted — pick one system | Permitted simultaneously |
The practical effect for a developer using alternative distribution or payment processing in the EU: what used to require stacking up to three separate fees against a single transaction now comes down to one 5% commission line, with the other two removed rather than folded in elsewhere. That's a real simplification, not just a rebrand — a developer modeling margins under the old terms had to account for all three fees compounding; under the new terms there's one number to model.
Why this matters beyond the EU
Regulatory changes forced in one region tend to ripple outward — the original Digital Markets Act rules that first cracked open alternative iOS distribution in 2024 were EU-only, but they shaped how Apple designed similar concessions elsewhere, including in the US following separate antitrust litigation. A restructured, simplified fee model that developers find easier to reason about in the EU is the kind of change that tends to get referenced in other regulatory conversations, even if Apple hasn't signaled any plan to extend it globally.
What developers should actually do before October 1
Apple is letting developers review and agree to the updated terms immediately rather than waiting for the effective date — doing that early, and modeling what the 5% Core Technology Commission actually costs against your current per-install fee exposure, is worth doing now rather than in the last week of September. Apple also offered 30-minute online appointments for developers with specific questions about the transition; if your EU revenue is meaningful, that's a better source than a blog summary for anything account-specific.
FAQ
Does this affect apps distributed only through the App Store, not alternative marketplaces? The commission-rate adjustments apply across standard App Store transactions too, not just alternative distribution, though the eliminated fees (Initial Acquisition Fee, Store Services Fee) were specific to alternative distribution scenarios.
When exactly does this take effect? October 1, 2026, per Apple's own announcement. Developers can adopt the new terms in the Apple Developer Program License Agreement before that date.
Does this apply outside the European Union? No — this is specifically EU business terms, tied to Digital Markets Act compliance. Apple's terms for the US, UK, and other regions are governed separately.
If you're building toward a launch and want your app to be more discoverable once new terms and marketplaces settle in, our iOS launch playbook covers the front-page mechanics that don't change with fee structures. Developers looking to get ahead of AI-assistant discovery can also look at sponsored topic placement on AppsHunter.