Netflix has implemented Apple’s new App Store change for reader apps. The video streaming service has added a new subscription button on its iOS app for users to manage their subscription payments outside the App Store.
In March, Apple allowed developers of all reader apps to add links to external websites for subscriptions to create and manage their accounts outside its App Store payment system.
The change was introduced on iOS after the tech giant’s anti-steering policy was found to be in violation of anti-competitive laws during the Epic Games vs. Apple lawsuit and Japan Fair Trade Commission (JFTC) ordered Apple to allow external links in only “reader” apps in Japan but the tech giant extended the update globally.
Reader apps offer previously “purchased content or content subscriptions for digital magazines, newspapers, books, audio, music, and video.”
Netflix added a new subscription button in its iOS app without a reduction in subscription fees
Developers have argued that Apple’s 30% commission for in-app purchases via App Store forces them to increase prices which are passed on to the consumers who end up paying more. It is also claimed that if the developers were to add links to external websites or alternative payment methods outside the App Store, it will allow them to offer lower prices to consumers.
But in this case, Netflix has only added a new subscription button to an external payment system without any reduction in the subscription fees. This favors the developer but not the consumers, because Netflix will not pay the 30% or 15% commission to Apple for using its payment system.
Maybe for this reason, the video stream brought back the in-app subscription button it ditched in 2018. However, Apple warns the users that it will not be responsible for any transactions made outside the App Store.
Any accounts or purchases made outside of this app will be managed by the developer “Netflix.” Your App Store account, stored payment methods, and related features, such as subscription management and refund requests, will not be available. Apple is not responsible for the privacy or security of transactions made with this developer.