Apple’s facing another legal challenge over its controversial in-app purchase requirements for the App Store. According to Reuters (opens in new tab), in a new filing in India, Tinder-owner Match Group accuses the iPhone maker of “monopolistic conduct” by forcing app developers to pay commissions on in-app purchases.
Match Group says Apple’s commission system is too high and is also challenging the company’s requirement that app developers must use its payment system in the App Store. Instead, in India, it prefers a state-backed transfer system.
Mark Buse, head of global government relations for Match, said in the filing: “Apple is therefore leveraging its dominant position in the iOS App Store market to promote the exclusive use of its own payment solution.”
Only the latest challenge over in-app purchase commissions
Apple faces numerous global antitrust challenges over its proprietary in-app purchase system, which charges some app developers up to 30% in commissions. In India alone, Apple is fending off two other challenges currently being reviewed by the Competition Commission of India (CCI). In a similar dispute in the Netherlands, Apple was fined 50 million euros and now allows different payment methods in Dutch dating apps.
Over the years, Apple has somewhat relaxed its in-app purchase requirements. This loosening has included lowering commission rates to 15% for smaller developers and allowing some alternative payment methods in specific locations. However, these changes don’t apply to Match’s properties.
According to Apple, 87% of the apps on the App Store in India don’t pay commissions.
Tinder is one of India’s most popular dating apps and accounts for 51% of consumer spending in the top five dating apps in the App Store.
CCI, a watchdog group, began investing Apple in December after a local non-profit group alleged that the company’s in-app purchase system hurts competition and acts as a barrier to market entry. At the time, Apple denied any wrongdoing and noted it had an “insignificant” 0-5% market share in the country versus Google’s Android, which has a 90-100% share.
Match’s Tinder app works on all the best iPhones, including the iPhone 13 Pro.
