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Cracking Down on the Apple Tax: What the New Court Ruling Means for the Future of Apps

By
Tony Scherba
-
May 6, 2025

This week’s court ruling against Apple is a major game-changer for app developers and users alike.

For years, the so-called “Apple Tax” — a 30% commission on in-app purchases — has loomed over the app economy, shaping how early-stage companies approach product design, pricing, and even viability.

After 15 years of working alongside startups to bring new app ideas to life, I’ve seen firsthand how this fee can make or break a business model. Some great ideas never made it past the whiteboard — not because they weren’t useful or innovative, but because they simply couldn’t survive Apple’s cut.

Now, with the courts stepping in, we may finally be on the brink of a more open, flexible, and innovation-friendly app ecosystem.

The Ruling

In April 2025, U.S. District Judge Yvonne Gonzalez Rogers ruled that Apple had violated a 2021 court order intended to give developers more freedom in how they handle payments. Despite the order, Apple continued to charge a 27% commission on purchases made outside the App Store, while additionally restricting developers from clearly directing users to alternate payment sites where  fees could be bypassed.

The 2025 ruling represents a major shift in how Apple can operate its App Store. It effectively bars Apple from collecting commissions on purchases that happen outside of the App Store — such as subscriptions or digital goods sold through a developer’s own website.

Just as importantly, it also prevents Apple from blocking or limiting how developers inform users about those external options within their apps. That means developers can now include links, buttons, or even promotional language directing users to alternative ways to pay — something Apple had previously forbidden under its so-called “anti-steering” rules.

While Apple has stated that it intends to appeal the decision, the company is currently complying with the court’s order -  creating a rare and potentially transformative window of opportunity in the app economy.

How it Affects Us

Reflecting on my experience with early-stage companies, the constraints imposed by the App Store's commission structure have often been a significant hurdle. The necessity to allocate a substantial portion of revenue to platform fees has stifled innovation and limited the viability of certain business models.

This court ruling represents a shift towards a more equitable digital ecosystem. By reducing the financial burden on developers, we can expect a surge in creativity and the emergence of diverse app offerings that were previously untenable under the old model.

For developers, especially those working on innovative app ideas, this change opens up new possibilities, including:

The ripple effects of this ruling go beyond traditional app monetization and could also be  a major breakthrough for crypto developers. Apple’s updated guidelines now lift long-standing restrictions on external payment methods and allow apps to showcase NFT collections. This creates new possibilities for blockchain-powered games, onchain creators, and apps leveraging stablecoins or other tokens for microtransactions. With crypto payments known for their speed and low fees, developers can now offer seamless, decentralized payment options without handing over a cut to Apple — a shift that could fuel the next wave of innovation across both Web2 and Web3.

At  Yeti, this ruling is already shaping how we think about product strategy, particularly with Sulu, a Yeti Ventures platform focused on GPS guided tours.

Until now, Sulu has had to work around Apple’s rules by funneling sales through our tour partners' external websites, avoiding any in-app transactions that Apple might flag as violating its policy on “experiences augmenting a physical purchase.” But with this new legal clarity, we’re able to rethink the entire Sulu marketplace, and explore selling directly within the app - making it easier for users to purchase tours, and for operators to reach customers. It’s a huge unlock for innovation, convenience, and revenue alignment.

While Apple has filed an appeal, the current compliance with the court's order sets a precedent that could reshape the app development landscape. Developers now have an opportunity to reimagine their business models, focusing on delivering value to users without the constraints of excessive platform fees. As the digital economy continues to evolve, this ruling may serve as a catalyst for further reforms, promoting a more open and competitive environment that benefits developers and consumers alike.

Tony Scherba is a CEO + Founding Partner at Yeti. Tony has been developing software since high school and has worked on digital products for global brands such as Google, MIT, Qualcomm, Hershey’s, Britney Spears and Harmon/Kardon. Tony’s writing about innovation and technology has been featured in Forbes, Huffington Post and Inc. At Yeti, Tony works on strategy, product design and day to day operations, hopping in and working with the development teams when needed.

Connect with Tony on LinkedIn

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