In a significant move, Apple changes the pricing structure for App Store

7 Dec 2022 , 10:04 AM

Even as the iPhone manufacturer is under fire for its app regulations globally, Apple stated on December 6 that it has changed the price structure for its App Store, giving more flexibility to app developers worldwide, including India.

This action was taken more than a year after the tech giant announced plans to do so as part of a settlement with US app developers in a class action lawsuit in August 2021. The settlement included plans to expand the price points developers can offer for subscriptions, in-app purchases, and paid apps, among other changes.

The company revealed that in addition to giving them new pricing tools that will make it simpler for them to set prices per App Store country or region and manage changes in foreign exchange rates among other things, it will grant developers access to 600 new price points, with an additional 100 higher price points available “upon request” and bringing the total number of available price points on the App Store to 900.

Before this, the App Store in India and other emerging nations offered 94 price points for non-subscription-based apps and in-app purchases, compared to 87 price points in the majority of developed economies. On the App Store, subscription-based apps could choose from 200 different price tiers.

Starting on December 6, 2022, auto-renewable subscription-offering apps will be able to use these new price modifications, and midway through 2023, all other apps and in-app purchases will be able to as well (Spring 2023).

Apple’s new approach will permit developers to set rates as little as Rs9 and as high as Rs10,00,000 for their apps, in-app purchases, or subscriptions. Across pricing ranges, the new price points rise gradually. Apps in the Rs9—Rs499 price range, for example, can grow in Rs5 increments, while apps in the Rs500—Rs1,499 price range can increase in Rs10 increments.

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