Apple recently introduced a new small business program that reduces the commission rate in the App Store to 15% for developers earning up to $ 1 million per calendar year of net revenue from app sales and in-app purchases. For developers exceeding the $ 1 million threshold, Apple’s standard 30% commission rate still applies.
Earlier this week, Apple began sending emails to eligible developers about their acceptance of the program, noting that the reduced commission rate of 15% will take effect by January 1, 2021. And as it turns out, Apple doesn’t wait long to switch the switch because some developers already notice a rate of 15% that applies to their earnings.
Among several developers who already see the reduced rate are David Hodge, maker of the independent Tesla vehicle app Nikola for the iPhone, and Jacob Gorban, developer of the ImageFramer photo editing app for the Mac.
Apple announced the Small Business Program last month amid increasing control over its App Store practices, including a lawsuit to protect competition from Fortnite maker Epic Games, which does not qualify for a reduced commission because it exceeds the $ 1 million earnings threshold. Apple said the program will benefit the “vast majority” of App Store developers.
Apple’s website has a Small Business Program page where developers can initiate the enrollment process and learn more details.