Apple launches new App Store Small Business Program, cutting commission to 15%
Apple has launched a new App Store Small Business Program, which cuts the commission Apple takes for paid app purchases, in-app purchases, and subscription fees to 15 percent, down from the standard 30 percent.
The program, which will launch on Jan. 1, 2021, will be open to all developers who earn less than $1 million from the App Store each year.
“Small businesses are the backbone of our global economy and the beating heart of innovation and opportunity in communities around the world. We’re launching this program to help small business owners write the next chapter of creativity and prosperity on the App Store, and to build the kind of quality apps our customers love,” said Tim Cook, Apple’s CEO.
“The App Store has been an engine of economic growth like none other, creating millions of new jobs and a pathway to entrepreneurship accessible to anyone with a great idea. Our new program carries that progress forward — helping developers fund their small businesses, take risks on new ideas, expand their teams, and continue to make apps that enrich people’s lives.”
Apple says existing developers who made up to $1 million in 2020 for all of their apps, as well as developers new to the App Store, can qualify for the program and the reduced commission.
More details about the program and its eligibility requirements will be released in December.