- Until now, Patreon had successfully avoided Apple’s fees
- Recent legal battles and the introduction of the DMA in Europe have complicated the situation
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Bad news for creators using Patreon and the Patreon iOS app as they will now be subject to Apple’s 30% fee on revenue earned through subscriptions and services sold via the app starting today.
Previously, Patreon had avoided these fees by allowing users to subscribe through their website, bypassing Apple’s charges. They managed to escape Apple’s fees by navigating through the ambiguous rules regarding subscription services and who is responsible for paying the fees.
For example, digital goods and services are subject to the fee, while services providing physical items are not. Additionally, “reader apps” that provide information like news are exempt from the fee.
Patreon’s ability to provide a wide range of services allowed them to dodge these rules successfully until now.
Tightening Regulations
The situation became more complicated due to Apple’s legal disputes with Epic Games over fees and the introduction of the Digital Markets Act in Europe. This has led to confusion with new fees and rules aimed at sustaining Apple’s revenue flow.
Patreon’s attempt to clarify their terms has now backfired, causing outrage among its predominantly small, independent creators seeking financial support for their work.
Oh, for the love of God.
If anyone considers supporting me or any creator, please avoid iOS.
This move is unethical, @Apple. You know who you are hurting. @Apple pic.twitter.com/X4EFCDDZf6
— Tantacrul (@Tantacrul) August 12, 2024
Many charities and service organizations also rely on Patreon to raise awareness and collect donations.
Instead of targeting large corporations, who can afford the fees, Apple’s 30% cut on Patreon creators, who earn around $100 per month, seems unjust.
What’s Next?
According to creators, Patreon has been instructed to use Apple’s payment system exclusively and remove other billing options from the iOS app by November 2024.
Starting November, new memberships purchased on the iOS app will be subject to Apple’s 30% fee.
The impact on small creators remains uncertain, with fees likely flowing to Apple rather than the creators. Redirecting users to make payments through Patreon’s website may help bypass Apple’s fees.
As Apple’s fee landscape evolves, the outcome remains unknown. We will provide updates as the situation unfolds.