Published on June 02, 2025/Last edited on June 02, 2025/11 min read
Every company has its own challenges to overcome in order to drive revenue and achieve profitability. But for brands where their mobile app is central to their business, there's a common issue that can make it difficult to see the sort of profit margins and financial results that they might like—namely the significant platform fees commonly charged by the Apple App Store and the Google Play Store. However, the massive global reach that these app stores open up have led many companies to accept the fees as the cost of doing business and to try to make it work the best they can.
It’s important to understand that Apple’s original rules only applied to the in-app promotion and sale of digital goods and services—things like streaming subscriptions, eBooks, or virtual currency in mobile games. These restrictions did not apply to physical goods or services, which could always be sold without using Apple’s in-app purchase system. And importantly, they didn’t prevent companies from promoting alternative payment options through out-of-app channels like email or SMS. The limitation was strictly about what could happen inside the app experience itself—and that’s what the court ruling has now opened up.
Today, a new development has the potential to reshape this landscape and open up new opportunities for brands to see more of the value they drive end up in their own pockets. A recent ruling in a major court case (Epic Games v. Apple) resulted in changes to Apple’s App Store guidelines that will allow app makers to direct app users to alternative payment methods on their websites, bypassing Apple’s in-app purchase commission fees for digital goods and services (it is important to note there are no fees on purchases of physical goods). This is a significant shift in the app economy with real implications for your bottom line. Whether you're a developer, product manager, or marketer, this change opens the door to new strategies for revenue growth and user experience optimization.
To help out, we’ll break down what changed, what it means for your app, and how Braze can help you make the most of it, fast.
Brands that leverage the Apple App Store to make their mobile app available to iPhone and iPad users around the world have to agree to comply with Apple’s stated store guidelines. These guidelines lay down rules and requirements for participating brands, creating a sort of walled garden where Apple is able to dictate how apps do and don’t operate on its iOS mobile operating system.
Before we dive into the changes that have resulted from the recent ruling, let’s revisit the App Store guidelines that were challenged in Epic Games v. Apple. The rules in question were:
Original Apple App Store Guidelines (Before May 2025)
Guideline 3.1.1 – In-App Purchase:"Apps may not use their own mechanisms to unlock content or functionality, such as license keys, augmented reality markers, QR codes, etc. Apps and their metadata may not include buttons, external links, or other calls to action that direct customers to purchasing mechanisms other than in-app purchase."
Guideline 3.1.3 – Other Purchase Methods:"Developers cannot encourage users to use a purchasing method other than in-app purchase, either within the app or through communications sent to points of contact obtained from account registration within the app (like email or text)."
These rules meant all digital transactions associated with iOS apps had to go through Apple’s billing system, requiring developers to pay significant commission fees. That control over how in-app purchases were handled drove billions in revenue for Apple and gave the company enormous control over the flow of revenue within the iOS ecosystem—but it also triggered a lawsuit from Epic Games in 2020 disputing the legality of the arrangement. To reiterate, this is for digital goods and services—think streaming music subscriptions or one-time digital purchases, such as eBooks or in-game items for your favorite game—not physical goods; your favorite everything store has always been able to sell paper towels and cell phone chargers without paying any fee.
Apple’s commissions fall between 15-30% of the cost of purchases made within the iOS ecosystem:
These fees have long been a point of contention. Developers who wanted to offer lower-cost options or direct users to pay on their website couldn’t; in fact, under the guidelines, these businesses weren’t even allowed to tell users about other purchasing options—such as their website—that would have been exempt from the fees. However, the approach does have its upsides for brands: Apple’s in-app purchases system has been shown to outperform web flows by 30% or more, suggesting that brands could see stronger results within the system than outside it, even with the fees included.
In 2021, an injunction in the lawsuit required Apple to temporarily allow developers to direct iOS app users to alternative purchase methods and platforms (including their own websites); the injunction was made permanent last year. Last month, Apple responded to the ruling by updating its guidelines to grant U.S. developers more flexibility in directing users to external payment options:
Guideline 3.1.1(a):"On the United States storefront, apps are no longer prohibited from including buttons, external links, or other calls to action, and no entitlement is required to do so."
Guideline 3.1.3:"The prohibition on encouraging users to use a purchasing method other than in-app purchase does not apply on the United States storefront."
Guideline 3.1.3(a): "The External Link Account entitlement is not required for apps on the United States storefront to include buttons, external links, or other calls to action."
Unsurprisingly, developers who’ve been paying 15–30% of their transaction revenue to Apple are welcoming this change, with executives at multiple leading brands applauding the ruling. It’s important to note that these updates don’t eliminate Apple commission fees for iOS in-app purchases. Instead, they allow developers within the US to legally link out to external websites and platforms where users can make purchases, exempting those specific purchases from Apple’s standard fees. This is a significant shift in App Store economics, as well as a prime opportunity for brands to experiment with messaging, optimize their app-to-web flows, and potentially boost conversions and purchase events in a material way.
(And what about Android? Following a 2024 Epic Games v. Google ruling, Google was similarly ordered to allow direct linking to outside payment systems.)
Beyond the headlines, this ruling unlocks more flexibility for developers to deliver better user experiences. Apps can now choose whether to:
It’s worth remembering that Apple’s in-app purchasing mechanisms perform very well, and may be worth the commission, so testing is highly recommended.
Curious what this looks like in practice? We’re already seeing some leading brands taking advantage of the change:
As a result of the lawsuit and Apple’s major policy shift, now is the time to reimagine your app-to-web purchase strategy—and Braze is here to help. Let’s explore several practical ways you can use Braze to optimize in-app purchase flows:
Scenario 1: You want to let readers know that they can purchase eBooks for your reading app directly on your website.
Scenario 2: You want to promote your subscription service in multiple app locations, driving users to sign up on your website.
Scenario 3: You want to offer a lower-priced subscription specifically to users who are likely to churn from your premium tier.
Scenario 4: You want to hardcode external purchase links in your app, but need testing flexibility and a kill switch in case the rules change again.
While these are just a few scenarios, many combinations are possible. If you're a current Braze customer, talk to your Success Manager about what’s best for your app today.
Two more Braze features worth highlighting
The court’s decision in Epic Games v. Apple is a gamechanger—and if you’re not experimenting with app-to-web conversion flows today, there’s a strong chance that you’re already behind your competition, and possibly leaving revenue on the table.
Don’t wait for your sprint backlog to clear (spoiler: It never will). With Braze, you can start testing release-free, high-impact messaging strategies right now.
Braze has everything to help you move fast:
Reminder: This ruling is still under appeal, and the guidelines may change. Proceed strategically, test thoughtfully, and always leave room for flexibility.
Interested in learning more? If you’re a current Braze customer, reach out to your Customer Success Manager to explore what’s possible for your app. If you’re new to Braze or ready to unlock new revenue opportunities, get in touch with us today.
Forward-Looking Statements
This blog post contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding the performance of and expected benefits from Braze and its products and features. These forward-looking statements are based on the current assumptions, expectations and beliefs of Braze, and are subject to substantial risks, uncertainties and changes in circumstances that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Further information on potential factors that could affect Braze results are included in the Braze Annual Report on Form 10-K for the fiscal quarter ended January 31, 2025, filed with the U.S. Securities and Exchange Commission on March 31, 2025, and the other public filings of Braze with the U.S. Securities and Exchange Commission. The forward-looking statements included in this blog post represent the views of Braze only as of the date of this blog post, and Braze assumes no obligation, and does not intend to update these forward-looking statements, except as required by law.