Under the Tier 1 Store Services fee, developers will receive fundamental App Store functions for a reduced 5 percent commission on in-app purchases, which includes app evaluations, privacy nutrition labels, and support from Apple. However, this tier does not include various features that developers currently use on the App Store, such as automatic app updates, automatic downloads, and other utilities aiding app promotion.

To obtain comprehensive access to App Store features, developers must enroll in Tier 2 of the Store Services fee, which involves a 13 percent commission. Apps listed on the App Store are automatically enrolled in Tier 2, although developers have the option to transfer their apps to Tier 1.

Apple is also introducing a new fee: the Core Technology Commission. With the update, Apple will take a 5 percent commission on outside purchases made in apps distributed on the App Store. However, developers who signed on to Apple’s alternate business terms will continue to pay the Core Technology Fee (CTF), a €0.50 per download fee that applies to apps for each annual install over 1 million.

The iPhone maker says that on January 1st, 2026, it’s going to move to a “single business model” for developers in the EU. That means it’s going to transition the Core Technology Fee to the 5 percent Core Technology Commission on digital goods and services sold on the App Store and alternative marketplaces.

The changes come in response to the €500 million (about $570 million) penalty the EU served Apple with on April 23rd after ruling that its App Store “anti-steering” practices — which restrict how developers can direct users to make external purchases — violated DMA rules. Apple will face interest payments on the $570 million fine if it fails to pay it by next month. The EU also issued preliminary findings for a separate DMA probe into Apple’s Core Technology Fee and other restrictions for alternative iOS app stores, ruling that Apple failed to demonstrate they were “necessary and proportionate.”

Apple still plans on appealing the penalty. “The European Commission is requiring Apple to make a series of additional changes to the App Store,” the company said in a statement to 9to5Mac. “We disagree with this outcome and plan to appeal.” Apple didn’t immediately respond to The Verge’s request for comment.

The EU Commission will now assess the changes that Apple has proposed before making a final decision on additional non-compliance fines.