Long-time Apple executive Phil Schiller, who led the App Store between 2020-2026 may have departed from his role last week over new plans to increase the marketplace's profit margins.
In his latest edition of Power On, via 9to5Mac, Mark Gurman has reported that Apple is looking into ways they can "raise margins and squeeze additional recurring revenue from the platform," in a time where more and more regulators continue to take action against Apple's so-called 'anti-competitive' behaviours.
Gurman says that Schiller did not like the idea of these plans, believing they "will only further irk developers and governments" even more and that it was "something he wanted no part of."
The report clarifies there was no internal conflict around Schiller's departure from the App Store, he just simply didn't want to move forward with the current App Store plans.
What Changes Could Occur?
Here are some of the ways the App Store makes money, which Apple could change:
- Apple Developer Membership
- App Commission
- Subscriptions
- Apple Ads
- In-App Purchases
They could review how much they charge for advertising on its platform, adjust the commission rates or even increase the cost of an Apple Developer membership.
Whatever changes Apple could bring, they could affect developers massively.
