UPDATE 1-Apple will change App Store practices after settlement with small developers

Reuters2021-08-27

(Adds details, background)

By Stephen Nellis

Aug 26 (Reuters) - Apple Inc on Thursday said it had reached a proposed settlement on a class-action lawsuit brought by small developers on its App Store and would make changes to its business as a result.

A group of software developers brought the lawsuit in 2019

alleging that Apple broke antitrust laws with practices such as charging commissions of up to 30%. The company said it has reached a proposed settlement that covers developers who made $1 million a year or less under which the developers release all claims that Apple's commissions were too high.

In exchange, Apple said it will make a number of changes to the App Store, including preserving a change made last year that lowers commissions for smaller developers to 15%.

(Reporting by Aishwarya Nair and Kanishka Singh in Bengaluru and Stephen Nellis in San Francisco; editing by Uttaresh.V & Shri Navaratnam)

((Aishwarya.Nair@thomsonreuters.com; +91-8067494421;))

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2021-08-27
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