Apple denies Facebook app saying Apple cuts 30%

Apple has rejected one of Facebook’s new app updates, according to Reuters. The app tried to inform users that Apple collects 30% of in-app purchases from a new online event feature.

Earlier this month, Facebook launched the feature that allows companies to host paid online events in an effort to renew some of the business lost by Covid-19. Facebook asked Apple to reduce its cut on the App Store by 30% because it wanted all the money directly to the small businesses, but was refused.

In an effort to inform users about Apple’s cuts, Facebook instead plans to add a line within the iPhone app informing users that “Apple is taking 30% of these purchases.” Facebook was not sure if Apple would approve the language and, ultimately, not.

This is what the app looks like, note the language on the left below the purchase button:

Facebook said that if users make the same purchase elsewhere, whether on the web or through the app on an Android phone, small businesses keep 100% of the revenue.

“Now more than ever, we need to have the option to help people understand where the money they are aiming for for small businesses actually goes. Unfortunately, Apple rejected our transparency message about their 30% tax, but we work still to make this information available in the app experience, “Facebook told Reuters on Thursday.

Facebook and Apple did not immediately respond to a request for comment.

Top app makers have been speaking out against Apple and its App Store policies in recent weeks. Epic Games, for example, tested Apple’s policy by sidestepping the 30% rule in an update to its hit game Fortnite, and then pursued after Apple removed the game from the App Store.

Apple has claimed that it is trying to maintain an equal playing field for all developers and that it is taking a standard cut of 30% of all in-app purchases.

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