Illinois proposes bill that could force Apple, Google to allow alternative payment methods within apps

After several states in the U.S. including Florida, New York, and North Dakota tried to force Apple and Google to allow alternative payment methods in third-party apps distributed through the App Store and Google Play and were ultimately unsuccessful, Illinois is now following suit. Senators of the state recently filed a bill that could force both companies to allow developers to use whatever alternative payment methods they want.

Illinois proposes bill that could force Apple, Google to allow alternative payment methods within apps

Illinois senators want Apple, Google to allow alternative payment methods on their respective platforms

As reported by WGEM, the purpose of the “Freedom to Subscribe Directly Act” filed on Tuesday is to stop Apple and Google from forcing developers to use the App Store and Google Play to “sell their products and services.” Meaning, the bill would allow developers to distribute apps that sell items or services without using Apple and Google’s in-app purchases system.

The proposal is being supported by the software company Basecamp, which is also located in Illinois. Basecamp has had a problem with the Cupertino tech giant in the past as its HEY email client was rejected on the App Since since the developers did not want to pay 30% app tax.

Illinois-based software company Basecamp is one of the advocates for the proposal. Chief Technology Officer and Co-founder David Heinemeier-Hansson said Apple threatened his company with not allowing their new email service to launch on the Apple app store if Basecamp did not use their payment service.

“Apple demanded we sell our new service through their payment processor, so they could take their 30% cut, or we’d be thrown out of the app store.” Heinemeier-Hansson [Basecamp co-founder] said.

“Basecamp might have among the few companies willing to speak up but we are far from the only ones dealing with these oppressive regimes,” he continued.

Apple App Store

Apple was recently forced to allow dating app developers in the Netherlands App Store to provide alternative payment methods for users. It also has to allow alternative payment systems in South Korea to abide by the country’s new law. Apple claims it will still be charging a commission fee, however, the new fee has not been shared by the company yet.

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About the Author

Asma is an editor at iThinkDifferent with a strong focus on social media, Apple news, streaming services, guides, mobile gaming, app reviews, and more. When not blogging, Asma loves to play with her cat, draw, and binge on Netflix shows.

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