Apple App Store Changes as 'A Step in the Wrong Direction', Criticizes Microsoft

These modifications, unveiled prior to the EU Digital Markets Act (DMA) in March, mandate developers utilizing third-party app stores to remit 0.50 euro for each annual app installation after reaching 1 million downloads.

Following in the footsteps of Epic Games CEO Tim Sweeney and Spotify CEO Daniel Ek, Microsoft has expressed disapproval of the recent changes to the Apple App Store in the EU, deeming them as "a step in the wrong direction."

These modifications, unveiled prior to the EU Digital Markets Act (DMA) in March, mandate developers utilizing third-party app stores to remit 0.50 euro for each annual app installation after reaching 1 million downloads. Furthermore, Apple will retain a 17 percent commission from developers opting for third-party payment processors.

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In a statement on X, Microsoft Xbox president Sarah Bond emphasized the importance of constructive dialogue in fostering change and progress toward open platforms and increased competition. She remarked, "Apple’s new policy is a step in the wrong direction. We hope they listen to feedback on their proposed plan and work towards a more inclusive future for all."

Sarah Bond, responsible for overseeing all of Microsoft’s Xbox platform and hardware initiatives, conveyed a sentiment shared by others in the tech industry. Elon Musk, owner of X, voiced his concern, labeling these changes as "very concerning." Epic Games CEO Sweeney criticized Apple’s App Store alterations as "hot garbage," denouncing Apple's attempt to circumvent Europe's new Digital Markets Act as a "devious new instance of Malicious Compliance."

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Meanwhile, Spotify CEO Daniel Ek expressed skepticism about Apple's DMA announcement, describing it as "at best vague and misleading." In a blog post, Ek alleged that under the guise of compliance and concessions, Apple presented a plan that he considered "a complete and total farce." He argued that, essentially, the old tax was deemed unacceptable under the DMA, prompting Apple to introduce a new one masquerading as compliance with the law. The collective criticism from these influential figures underscores the industry's reservations about the implications of Apple's recent policy changes.

(With Agency Inputs)

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