Good news for Apple’s App Store! The company cut its commission fees by half to 15 percent

new Delhi. Apple has announced a new developer program that the company will reduce the rate of App Store commission to 15 percent next year. This program, named ‘App Store Small Business’, will benefit only those developers whose annual revenue is less than one million dollars (about 7.41 crores). Let me tell you that currently Apple takes 30 percent commission from developers on paid apps and in-app purchases.

This new program of Apple will start from 1 January 2021. All developers wishing to participate in the program will have to apply for it. Other information related to this will be released by Apple in early December 2020.

The benefit of this program will be available to all those apps on the store who have earned one million dollars (about Rs 7.41 crore) from all their apps in the year 2020. If the annual revenue of the developer exceeds one million, then the standard commission rate (30 percent) will be applied on it. Apple has also announced that if a developer’s business falls below the prescribed limit in future, then he can regain the merit of 15 percent commission.

Apple CEO Tim Cook has described the program as a commendable step for small businesses considered to be the backbone of the economy. Apple believes that this program will benefit a large population of developers who provide digital service at the store. The company has also made it clear that 30 percent commission will be charged from developers earning more than one million annually. This year was difficult for the company. On the issue of in-app purchase, the company also had to cut the rounds of the court. The company may have faced problems on some issues, but according to reports, Apple has earned $ 32.8 billion globally from the App Store in the first 6 months of 2020, which is 24.7 percent higher than 2019.