Apple stops updating Facebook app and announces 30% sales tax


Apple has reportedly blocked an update of Facebook app that informs users about the purchase commission rate of 30% of the company.

The social media giant told Reuters that the message was intended to be included as part of a new online event feature, but Apple refused the update based on “irrelevant” information.

According to the publication, the iPad and iPhone maker cited a rule of the Apple Developer Program that blocks developers from showing irrelevant information to users – while Facebook says the message was intended to improve transparency.

The new feature in question is aimed at high-profile influencers and Facebook users and is described as “a new way to earn your live online event through a one-time admission fee that is collected when guests register to attend.”

See also: Fortnite Fight: Epic lawsuit against Apple’s App Store seeks leverage, pressure and a better deal

Currently, paid online events are only available for a select group, but will roll out more widely over time.

Facebook told Reuters that the company asked Apple to waive the iOS purchase fee of 30% so that all revenue can go to events. Apple refused, however, and so Facebook set out to make sure business owners and guests knew where their money was going.

Facebook said it would not take any cuts to support small business owners, adding:

“We asked Apple to reduce their 30% App Store tax or allow us to offer Facebook Pay so that we can cover all costs incurred by companies fighting during COVID-19. Unfortunately, they have rejected both our requests and SMEs. only 70% of them are paid hard earned income. ”

In mock-ups released by Facebook showing the feature in action, a message regarding Apple was displayed below the purchase button. Another note, regarding Google’s Play Store and Google’s choice not to charge a fee, would presumably be implemented as well – but both have been removed.

CNET: Epic sues Apple and Google over Fortnite ban: Everything you need to know

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“Unfortunately, Apple declined our transparency announcement due to its 30% tax, but we are still working to make this information available in the app experience,” Facebook told the publication.

Facebook, it seems, has now joined Epic in criticizing Apple’s in-app purchase commission rates.

A battle that has been in the public eye for several weeks is the clash between Epic Games and Apple, in which the Fortnite developer has fought hard and publicly against Apple’s ‘tax’.

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Epic released an update to their iOS app that ran Apple’s payment system and tried to entice users to switch to the direct payment system in exchange for discounts. In response, Apple removed Fortnite from the App Store and threatened to withdraw Epic’s member developers, which also affected third-party developers using Epic’s Unreal Engine.

A U.S. court has granted Epic an injunction against Apple’s Developer Program by temporarily ordering Apple to revoke Epic’s access to developer tools. However, Fortnite has not returned to the App Store, and users recently missed an update due to the spit.

Epic has filed lawsuits against both Apple and Google, the latter of which also took Fortnite out of its official app store.

ZDNet has reached out to Apple and will update when we hear back.

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