Epic Games slams Apple's new EU App Store fees as 'junk fees'
Apple replaces its per-install fee with a flat 5% commission for alternative distribution, but Epic Games says it fails to foster competition.
Apple has overhauled its commission structure for the European Union to comply with the Digital Markets Act (DMA), but the move has failed to appease its most vocal critic. Epic Games dismissed the new rates as "junk fees," arguing that the changes do nothing to open the mobile app ecosystem to genuine competition.
Effective October 1, 2026, Apple will replace its controversial Core Technology Fee—which previously charged €0.50 per install after the first million downloads—with a flat 5% commission for apps distributed via the web or alternative marketplaces. The company is also adjusting its in-app purchase rates; the standard commission for Apple In-App Purchases will drop from 30% to 26%, though many developers can still access a 15% rate through special programs. For developers opting for alternative payment processing, Apple will charge a 20% commission, or 10% for those in qualifying programs.
Regulatory Pressure and Compliance
These adjustments follow years of intense legal battles and regulatory scrutiny from the European Commission. Apple has been under significant pressure to adhere to the DMA, which aims to curb the dominance of "gatekeeper" platforms. The company previously faced a €500 million fine from the EU for noncompliance, specifically regarding anti-steering rules that prevented developers from directing users to cheaper payment options outside the App Store.
Critics and regulators have previously accused Apple of "malicious compliance," suggesting that the company's initial attempts to meet DMA requirements were designed to be so complex and costly that they discouraged developers from leaving the official App Store. In an effort to lower these barriers, Apple has also loosened the financial stability requirements for those wishing to operate alternative app stores. The company now accepts qualifying venture capital funding, financial audits, or public company status as sufficient proof of stability.
The Battle for Ecosystem Control
This dispute represents a fundamental clash over the level of control platform owners can maintain over their hardware and software ecosystems in the face of antitrust legislation. While Apple presents the 5% flat fee as a simplification and a concession, Epic Games views it as a strategic maneuver to preserve revenue streams while appearing to follow the law.
If the European Commission agrees with Epic's assessment that these fees remain a barrier to entry, Apple could face further litigation or additional regulatory penalties. The outcome will likely set a precedent for how other global regulators approach app store monopolies and whether "simplified" fee structures are sufficient to satisfy the requirements of open competition.
What to Watch
Industry observers are now waiting to see if other major developers will adopt the new terms or join Epic in challenging them. The primary question remains whether the removal of the per-install fee is enough to encourage a surge in alternative marketplaces, or if the remaining commissions will keep the ecosystem firmly under Apple's influence. Until October 2026, the industry will be monitoring whether the European Commission formally approves these new terms as fully compliant with the DMA.