Apple has asked a federal judge to approve a new commission structure for purchases made outside the App Store after users follow external links in iOS apps, proposing rates of up to 15 percent for standard apps and lower commissions for qualifying programs.
In a remand proffer submitted to the U.S. District Court for the Northern District of California, the company outlined the commission structure after Judge Yvonne Gonzalez Rogers declined to pause the fee-setting proceedings.
Under the proposal, standard apps that currently pay a 30 percent in-app purchase commission would pay 15 percent on linked-out purchases. Apps in the Video Partner Program, News Partner Program, and Mini Apps Partner Program would pay 10 percent, as would subscription renewals. Small Business Program apps would pay 5 percent.
Apple said expert analysis supports the proposed rates and that they would allow large numbers of U.S. developers to link out profitably while still compensating the company for its IP-protected tools, technologies, and services. The filing also compares Apple's proposal with Google Play's linked-out rates of 20 percent for standard apps, 15 percent for program apps, and 10 percent for subscription renewals, noting that Epic agreed to those rates in its separate case against Google.
The company also argued that the Ninth Circuit bars only commissions that are effectively prohibitive, not commissions in general. Apple acknowledged that under the appeals court's narrow "necessary costs" framework, the appropriate commission would effectively be zero because the incremental costs and limited IP compensation permitted under that approach are de minimis. It maintained that limiting compensation to those costs would fail to recover its investments, create significant economic distortions, and amount to impermissible price regulation.
Apple said it continues to believe the proceedings should be paused while the Supreme Court reviews the contempt finding, but submitted the proffer to comply with the court's instructions. The filing follows the legal schedule that Apple and Epic Games agreed to in May. Alongside the proffer, Apple filed an administrative motion seeking referral to a settlement conference. Epic has already criticized that request as "far outside of the bounds" of the court's guidance and will have an opportunity to formally respond before the district court rules.
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