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Patreon will update its iPhone app to sidestep Apple’s payment system

Patreon will update its iPhone app to sidestep Apple’s payment system

  • Patreon is updating its iPhone app to allow creators to accept payments outside of Apple’s payment system, following a recent court ruling that blocks Apple from collecting fees on payments made outside of apps.
  • The update aims to enable creators to keep more of their earnings, as Apple currently takes a 30% fee on all new memberships purchased in the app.
  • Patreon was forced to switch to Apple’s in-app purchase system last year, which applied the same 30% fee, or risk being removed from the App Store.
  • Other companies, including Spotify and Proton, are also planning updates in response to the ruling, with Spotify aiming to enhance its consumer experience and Proton promising to lower prices by up to 30%.
  • The updates will allow creators to maintain more control over their business and fan engagement, following a major court victory that gives them more flexibility in how they handle payments outside of Apple’s system.

Patreon is planning to submit an update to its iOS app that will let creators accept payments outside of Apple’s payment system, spokesperson Adiya Taylor tells The Verge. The planned update follows yesterday’s major Epic Games v. Apple ruling that blocks Apple from collecting fees on payments made outside of apps.

“This is a huge moment for creators and their businesses,” Taylor says. “The iOS app is the number one platform for fan engagement on Patreon, and we believe this ruling allows creators to get paid without giving Apple 30 percent. As a first step, we will submit an app update for review by Apple to enable payments outside of IAP so creators keep more from iOS based fan payments.”

Last year, Patreon said it was forced to switch to Apple’s in-app purchase system, which applied a 30 percent fee to all new memberships purchased in the app, or else risk “being removed from the App Store.”

“When we first announced rolling out Apple’s IAP requirements last year, we shared that we used three principles to guide our decision in how we wanted to move forward: transparency, control, and stability,” Taylor says. “Keeping with those principles, we’re exploring further action we can take, and we’ll continue to keep creators and fans posted on any changes to our experience.”

Taylor wasn’t able to share a timeline for when the update might be rolled out.

Spotify told The Verge last night the company is also planning an update in response to the ruling. “Spotify will move quickly to submit an app update to Apple, enhancing the experience for our consumers across the United States,” spokesperson Jeanne Moran said. Proton is also planning changes, with CEO Andy Yen saying that it will “lower prices for users by up to 30 percent.”

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Q. What is Patreon planning to do with its iPhone app?
A. Patreon will update its iOS app to let creators accept payments outside of Apple’s payment system.

Q. Why is Patreon updating its app in response to a recent ruling?
A. The ruling blocks Apple from collecting fees on payments made outside of apps, allowing creators to keep more of their earnings.

Q. What percentage fee does Apple currently charge for payments made through its in-app purchase system?
A. 30 percent.

Q. Why did Patreon initially switch to Apple’s in-app purchase system last year?
A. To avoid being removed from the App Store if they didn’t comply with the new requirements.

Q. What principles guided Patreon’s decision to use Apple’s IAP system?
A. Transparency, control, and stability.

Q. Will Spotify also update its app in response to the ruling?
A. Yes, Spotify plans to submit an app update to Apple to enhance the experience for its consumers.

Q. How much will Proton lower prices for its users by as a result of the ruling?
A. Up to 30 percent.

Q. What is the significance of the Epic Games v. Apple ruling for creators and their businesses?
A. The ruling allows creators to get paid without giving Apple 30 percent, which was previously required through Apple’s in-app purchase system.

Q. Can Patreon share a timeline for when its app update might be rolled out?
A. No, Taylor wasn’t able to share a specific timeline for the update.

Q. Will Patreon keep creators and fans posted on any changes to their experience?
A. Yes, according to Adiya Taylor, they will continue to keep creators and fans informed about any updates or changes.