Apple Face Massive Fines As Tinder Pay US$500M A Year
The Netherlands antitrust authority says Apple failed to comply with an order to let dating-app developers such as Tinder use alternate payment systems. As a result, they could face fines of US56.44 million a week.
Apple has already been lumped with a US$5.6 million bust via the Netherlands Authority for Consumers and Markets over the excessive fees they charge developers through their own payment system.
Now, until they comply with the order, they have to cough up as much as US$56.4 million a week, according to Dutch regulators.
As it stands, most developers who push their wares through Apple’s app store are required to use Apple’s in-app payments system, at a commission of up to 30 per cent.
This is being microscoped by global regulators as an abuse of market power, hence the stoush between Apple and Fortnite developer Epic Games.
Now, in the free and easy Netherlands, regulators ordered Apple to let dating app developers use alternate payment systems by January 15, which has obviously come and gone.
But while the antitrust authority acknowledges Apple had a shot at complying, such as letting dating app developers express “interest” in using other payment systems, they failed to fully “satisfy the requirements on several points”.
On the surface, it seems Apple are pressing developers to choose between directing users outside their apps to make payments or adding alternate payment systems within apps.
The regulator says Apple should give all developers both options, rather than having to settle on one.
The Dutch order came after Tinder owner Match Group kicked up a stink, and only applies to dating apps., with a spokesman calling the US$500 million Tinder is forced to sling to Apple each year “disgusting”.