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Apple will allow alternative app stores in the EU with iOS 17.4 as the Digital Markets Act kick in

It was inevitable. Because of the EU's Digital Markets Act (DMA), Apple has announced that when it releases iOS 17.4 sometime in March. It will also allow developers to use alternative payment systems. But don't think for a moment that this means users will be able to install anything that they want. Apple still wants to protect its users and there are certain rules and guidelines in place. To start, these third-party app stores will exist as an iOS app and when users visit them, To do so, however, users will need to explicitly give it permission to download and install apps on their devices. Any developer can create an app store, but they'll need to . Apple will even give users the option to select a third-party app store as their default app store. Apps on these third-party app stores will also need to to check for privacy and security risks, which is in some ways similar to how Mac apps work. It bears mentioning again, if you are somehow still confused, that this . For developers, there are significant changes to how they can charge customers and the fee structure. if they choose to distribute their apps using their own app store and payment system. However, Apple is charging annually for popular apps that exceed a million downloads. Apple says this fee "reflects the many ways Apple creates value for developers’ businesses." Apps that remain on Apple's App Store will pay reduced commissions. . That said, there's an additional 3% fee for developers who choose to use Apple's payment processing system. Developers who do not like these new business terms can choose to stick to the existing model, which would mean they'll pay between 15% to 30% in commissions.  Apple says 99% of developers will either reduce or maintain their fees, while less than 1% of developers would need to pay the Core Technology Fee. The DMA is also forcing Apple to open up certain aspects of the iOS ecosystem. For the first time, . In fact, users in the EU when they open Safari for the first time in iOS 17.4 will be prompted with the option to install alternative browsers.  Apple is also giving developers in the EU access to NFC, which would allow apps to offer NFC payments without using Apple Pay or the Wallet app. Finally, Apple will also allow game streaming apps in the App Store. Unlike the other changes mentioned above, . This would give users access to services like GeForce Now and Xbox Cloud Streaming, both of which were previously only accessible on iOS using a web browser. For developers, the implications are obvious. This is the chance for them to reduce or entirely cut their commissions to Apple. It also gives them the freedom to provide an app store experience that they think their customers might want.  Users will now finally get the chance to install apps that they might otherwise not be able to. Fortnite, for example, will be available to users in the EU since . For everyone outside the EU, it's business as usual. Apple has no plans to implement these changes outside the EU. Primarily, it doesn't believe that this is the safest system for its users. It said: Apple is not offering these changes outside of the EU because this is not the safest system for our users. We’ve been very clear about new threats the DMA introduces — including increased risks for malware, fraud and scams, illicit and objectionable content, and reduced ability for Apple to respond to and remove malicious apps. The changes required by the DMA also involve new technologies and processes that are untested and may require further development. But perhaps more importantly, it's clear that Apple did not make any of these changes by choice. If not for the DMA, none of this would have happened. It said: In the EU, the Digital Markets Act requires us to make changes to a formula that has served users and developers exceptionally well — changes that introduce new options, but also new risks. The changes we’re sharing represent Apple’s work to comply with the law and to help reduce new privacy and security risks the DMA creates for our users. It will be interesting to see how these changes play out in the EU and if it will lead to other changes elsewhere around the world. For a long time, a handful of developers have criticised Apple's policies and complained that the App Store is restrictive. Now, we will finally see if users care enough to venture into alternative app stores and payment systems. Source: , ,