Apple has made a rare disclosure of revenue from its App Store in China, as the US tech giant grapples with a controversy surrounding the so-called Apple Tax: commission fees the company charges developers for using its app store and in-app payment system.
Apple China published an article on its official website on Monday citing a report by a researcher from Shanghai University of Finance and Economics that the local App Store had more than 95 percent of the 3.76 trillion yuan ($519 billion) worth of income it generated paid. last year to Chinese developers and various companies.
“We are proud that the investments we are making in the App Store have made the App Store a powerful growth engine for local businesses of all sizes,” Apple CEO Tim Cook wrote on Chinese microblogging platform Weibo. He said the company is committed to the success of entrepreneurs across China.
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It is unclear whether the study was sponsored by Apple. The company and the report’s author, Ju Heng, did not immediately respond to a request for comment on Wednesday.
A Huawei flagship store in Shanghai, China. Photo: Costfoto/NurPhoto via Getty Images alt=A Huawei flagship store in Shanghai, China. Photo: Costfoto/NurPhoto via Getty Images>
Apple is under pressure to please app developers in China as local rival Huawei Technologies aggressively pushes its iOS and Android alternative, HarmonyOS. According to Counterpoint Research, HarmonyOS overtook Apple’s iOS in the first quarter to become the second largest mobile operating system in mainland China.
Although strong iPhone 16 sales pushed Apple back to second place in the Chinese smartphone market in the third quarter, the company has yet to announce when it will bring its new in-app artificial intelligence feature, Apple Intelligence, to mainland users to take. much to the dismay of some local users.
Apple’s app store business model has come under increasing scrutiny around the world, with European regulators reportedly considering fining the company for banning app developers from directing users to payment options outside the US company’s ecosystem.
In May, Apple won a major lawsuit in Shanghai brought by a local consumer who alleged the company was abusing its market dominance by charging unfairly high commissions.
