What you need to know
- Apple is suing Russia's antimonopoly body.
- It's over a warning issued by Russia's Federal Antimonopoly Service.
- The body previously told Apple it had to let developers tell customers about alternative payment options.
Apple has raised legal action against Russia's Federal Antimonopoly Service over a warning it received regarding its App Store.
From Russia Today:
In August the FAS told Apple that it had until the end of September to change its App Store rules, and that it could face a big fine calculated based on Apple's revenue in Russia. Formal proceedings were issued against Apple in October over the company's failure to comply. The issue pertains to anti-steering clauses in Apple's developer agreement, which previously stated that developers could not inform customers in-app or through emails of ways to pay for digital goods and services beyond the app itself.
A judge in the Epic Games vs Apple trial ruled against Apple on this specific matter and said Apple would have to let developers offer links and wording that could direct customers to other ways of paying for goods. The rule is the reason that platforms like Netflix and Spotify do not offer customers the chance to sign up and pay for their services using Apple's in-app purchases.
Stephen Warwick has written about Apple for five years at iMore and previously elsewhere. He covers all of iMore's latest breaking news regarding all of Apple's products and services, both hardware and software. Stephen has interviewed industry experts in a range of fields including finance, litigation, security, and more. He also specializes in curating and reviewing audio hardware and has experience beyond journalism in sound engineering, production, and design.
Before becoming a writer Stephen studied Ancient History at University and also worked at Apple for more than two years. Stephen is also a host on the iMore show, a weekly podcast recorded live that discusses the latest in breaking Apple news, as well as featuring fun trivia about all things Apple.
Apple is going to lose no matter what they try to do. The US, Russia, and a number of other countries all want Apple to allow alternative payment methods, but Apple doesn't like that because Apple will see a huge decline in app store revenue. Google's Android already allows that, and it even allows other app stores. Consider this, Apple makes over double the app store revenue over Google's play store. Yet Apple has only 15% of the global smartphone market, to Google's Android which has 85% of the smartphone market. Yet Google's Play store see's around 4 times the number of app downloads compared to Apples app store downloads. Apple can only delay this for a period of time, before Apple will get fined. Even then I believe Apple will need to see fines that in the double digit billions before Apple will decide to allow alternative payment methods.
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