On Friday, Facebook said that businesses running online events on its iPhone app don’t have to pay a 30% fee to Apple for the remaining months of 2020. They temporarily exempted a standoff between the two tech companies.
Facebook in one of its blog posts said that all businesses will be eligible for the fee exemption programme. This will exclude only gaming creators. The businesses are also allowed to process payments for the events they run through the Facebook Pay app.
According to Joe Osborne, who happens to be Facebook’s spokesman said that Apple has agreed with Facebook to provide a short relief of three months to all businesses except gaming developers. Once the period is over, the businesses will again have to pay the full 30% tax for the Apple app store.
Facebook also said that they will not take any fees for online events. However, the businesses will mostly stay closed because of the ongoing pandemic. This will last at least until August 2021.
On Friday, Apple said that paid online events are subject to the in-app payment rules laid down by them. According to the company rules, they charge commissions up to 15 to 30 percent of the total purchase price of online events.
Apple also mentioned that they have given more time to businesses to implement the system because of the pandemic. Now Facebook is also getting the same exemption till the year ends which was given to Airbnb and ClassPass.
It has been cleared that gaming creators will not be counted in the exemption list. That’s because the service was introduced in 2018. Also, their business has not been much affected by the pandemic.
Apple said in one of their statements that they like to maintain a clear set of guidelines for everyone.
However, Facebook challenged the rules set by Apple only last month. They wanted to inform users through an app update that Apple will take a commission of sales for the online events feature. But they later decided to take down the message because the update was rejected by Apple.
This shrewd move has been taken by Facebook in defense of small app developers and businesses such as Fortnite who have put severe allegations on Apple related to fees.
Facebook said that Apple’s decision to remove the fees has a catch in it and that it excluded game creators from using Facebook Pay for online events.