Facebook says that to add the new paid events feature to its app on iOS, Apple had it remove a message telling users that Apple takes a 30% cut of sales
Context & Ripple Effects
Two weeks after launching paid online events in 20 countries — with fees waived during COVID-19 and an explicit accusation that Apple was hurting small businesses by keeping its 30% iOS cut — Facebook tried to surface that fee inside the app itself. Apple's approval condition, per this report, was that the disclosure message come out.
The fight didn't end here: within a month Apple granted a temporary carve-out letting Facebook run paid events through Facebook Pay without the 30% cut until December 31, and separately let Facebook, Instagram, and Twitter sell ads in their iOS apps via direct transactions outside IAP. The removal of the message is the sharpest single data point in that escalating fee dispute.
First-order effects
- iOS users buying tickets to paid events see no indication that Apple takes 30% of the sale, while Facebook loses its most direct channel for making the fee visible at the point of purchase.
Second-order effects
- Facebook keeps pressing the transparency angle elsewhere — by mid-2021 it commits to showing creators exactly how much Apple, Google, and others take from their earnings through its payout interface, moving the disclosure off Apple-controlled screens.
Third-order effects
- If platform owners can condition app approval on suppressing fee disclosures, regulators and developers alike have a concrete case for mandating take-rate transparency — the same tension that produced Apple's temporary exemptions for Facebook Pay and ad sales.
The trend: App-store fee disputes are shifting from whether platforms can take 30% to whether they must disclose it, with each carve-out Apple grants setting precedent for the next.
Related: Regulated platform take rate · Apple · Facebook · Paid online events launch · Facebook Pay exemption · Ads sold outside IAP
Related Coverage
- Apple blocks Facebook update that called out 30-percent App Store ‘tax’ The Verge
- Apple makes a privacy change, and Facebook and advertising companies cry foul Washington Post
- Epic Games Will Let You Make And Sell Your Own Free Fortnite Merch GameSpot
- Apple won't let Facebook tell users about 30-percent Apple tax on events Ars Technica
- Apple Blocked Facebook Update Highlighting Apple's In-App Purchase Fees MacRumors
- Apple rejects Facebook app that tells users that Apple takes 30% cut of in-app purchases CNBC
- Facebook tries to warn users about Apple ‘tax,’ Apple says no Mashable
- Facebook Looks to Add Pressure to Apple and Further Emphasize Concerns Around App Store Policies Social Media Today
- Facebook Rejected for Mentioning App Store Fee Michael Tsai
- Facebook Wanted to Tell Users About Apple's 30% Slice Of In-App Purchases But Apple Stopped It Redmond Pie
- Apple blocks Facebook app update amid scrutiny of App Store policies SiliconANGLE
- Apple's domineering approach is alienating its App Store partners Telecoms.com
- Facebook says Apple wouldn't let it inform users of commission fees on purchases Input
- With The Epic Fight Ongoing, Apple Blocks Facebook Update Mentioning The App Store's 30% Fee GameSpot
- This is the excuse Apple gave Facebook for blocking its “App Store tax” warning SlashGear
- Apple, Google Blocked Facebook Update With Message About App Store Fees The Mac Observer
- Facebook says it was blocked from telling users that Apple took a 30% fee for online events Pocketnow
- Facebook says Apple blocked in-app message informing users of 30% App Store fee AppleInsider
- Facebook says Apple didn't let it tell users about App Store tax Digital Trends
- Facebook smells blood, publicly accuses Apple of blocking app over 30% Apple Tax disclosure MSPoweruser
- Facebook claims Apple tried to block it telling users of App Store fee Silicon Republic
- Apple blocks Facebook message mentioning 30% App Store fee iMore
- Apple stops Facebook app update calling out 30% sales ‘tax’ ZDNet
- Facebook Says Apple Forced it to Remove Message Telling Users that Apple Takes 30% Cut of Sales iPhone Hacks
- Facebook Calls Out Apple On Fees, Transparency PYMNTS.com
- Apple reportedly blocked Facebook's attempt to tell users about 30% App Store tax CNET
- Facebook says Apple blocked message noting 30 percent App Store fee Engadget
- Facebook says Apple blocked its in-app notice about the App Store's 30% tax Neowin
- Facebook Claims Apple Rejected Update Notifying Users About Apple's In-App Fees iPhone in Canada Blog
- Apple Not Thrilled With Facebook's ‘Transparency Message’ About The App Store Ubergizmo
- Apple stops Facebook from informing users of 30% App Store fee TechSpot
- Apple blocked Facebook update meant to shame its 30 percent App Store revenue share iDownloadBlog.com
Discussion
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@basche42
Ben Basche
on x
Apple should start telling iOS users what Facebook is up to https://twitter.com/...
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@firt
Maximiliano Firtman
on x
Apple gets 30% of digital goods including, cooking classes you can take on Facebook app from individuals. FB put a sign highlighting Apple was taking 30%; Apple rejected: “the update violated an App Store rule that doesn't let developers show “irrelevant” information to users.” h…
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@nabeel
Nabeel Hyatt
on x
You have one guess on what Facebook charged developers like Zynga on their own app store. 🙄 https://twitter.com/...
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@maxwinebach
Max Weinbach
on x
But seriously, why can't they mention Apple taking a 30% cut? If Apple doesn't want people knowing about it, don't take it. If you need to take it, let companies actually tell people about it. It's just such a stupid move.
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@ia
@ia
on x
Now wait until Apple discovers the 100s of Billions in app payments in the so called free apps. Those that sell digital goods, like Instagram, where Apple doesn't get their 30% share. Yep, the top ten apps use the same tools and platform as small devs... https://www.theverge.com/…
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@geoffreyfowler
Geoffrey A. Fowler
on x
It's hard to be sympathetic to Facebook losing some of its ability to spy on iPhones. But FB does make an interesting point: When Apple says it's protecting our privacy, is it also a power move? Regulators are watching: https://www.washingtonpost.com/ ...
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@benbajarin
Ben Bajarin
on x
If every retailer disclosed the percentage they take of the goods you purchased this 30% wouldn't look so bad. https://twitter.com/...
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@latentexistence
Ella
on x
Apple doesn't allow apps to mention that Apple gets a 30% cut of all in-app purchases https://www.theverge.com/...
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@sierra_offline
@sierra_offline
on x
Is there a term for the sublime fascination one feels watching multibillion dollar companies play hide-the-nut with one another https://www.theverge.com/...
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@mdudas
Mike Dudas
on x
Apple rejects Facebook app update that included message to users alerting them that Apple skims 30% off the purchase of tickets to online events, including things like cooking classes hosted by out-of-work chefs https://www.theverge.com/...
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@hanyrizk_
Hany Rizk
on x
This can not be an isolated event. First the drama with @EpicGames & @FortniteGame, and now with Facebook... worth observing Apple's moves right now https://twitter.com/...
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@tomwarren
Tom Warren
on x
Facebook really going after Apple. Almost as if iOS 14 and beyond is about to kill their ad tracking businesses 🤔 https://twitter.com/...
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@webreflection
Andrea Giammarchi
on x
I don't follow this Apple 30% tax issue ... if you're selling digital content, go PWA and publish an App to bring you to such PWA if store discoverability is the issue? ... or maybe that's banned too? All I know is that PWA is the answer, like it or not. https://www.theverge.com/…
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@shortformernie
Ernie Smith
on x
Idea: Facebook should pull an Epic Games right now. The moment is ripe. https://www.theverge.com/...
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@11rcombs
@11rcombs
on x
at this point apple is just shouting “REGULATE ME, DADDY” from the rooftops https://www.theverge.com/...
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@thekenyeung
Ken Yeung
on x
So Apple and Google are dictating what content developers can have in their apps? “Facebook said that Apple cited an App Store rule that bars developers from showing ‘irrelevant’ information to users.” https://www.reuters.com/...
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@joeytweeets
Joey
on x
@zerohedge They make the devices. They own the hardware and software IP. The entire “smile” curve belongs to Apple. They're fine.
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@zerohedge
@zerohedge
on x
Apple service revenue starting to look shaky: Apple Rejected Facebook's Attempt to Tell Users About Fees: Rtrs
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@hoofnagle
Chris Hoofnagle
on x
WSJ: “Facebook fears many users will reject tracking, if given the choice, affecting not only its business but also any app that uses its services to sell ads, from game-makers to news publishers...” https://www.wsj.com/...?