Apple’s squeeze on the App Store ecosystem for iPhone apps is stifling competition, according to the EU’s Digital Markets Act (DMA), and is now forcing the tech giant to open up to new competitors. As a result, we’re starting to see what the app store ecosystem might look like when other developers are allowed to compete with the default iPhone App Store.
One notable example is AltStore, an alternative app store that is preparing to take advantage of the DMA to launch an updated version of its app marketplace in the EU, with plans to support Patreon-backed apps.
To comply with the new European law, Apple is introducing APIs and frameworks that allow developers to distribute apps independently of the App Store. AltStore was quick to take advantage of this opportunity, and last week AltStore developer Riley Testut shared screenshots of the upcoming version of its app store that will be offered in the EU.
Instead of relying solely on ads, paid downloads or in-app purchases for monetization, AltStore will allow developers to use its custom integration with Patreon to market their apps directly to consumers.
Posted by @rileytestut
Look at Threads
The store — which offered sideloading apps like the video game emulator Delta, also from Testut — will initially launch in the EU with just two apps, the developer says. Delta will be available for free, and AltStore’s own Clip Clipboard will require a $1 or more stake on crowdfunding platform Patreon. AltStore plans to add beta versions of both Delta and Clip soon after, which will require a $3/month pledge to Patreon to use.
This unique business model for app monetization is somewhat similar to Apple’s in-app subscriptions, but comes without the traditional 15% to 30% commission on sales that the tech giant currently takes. With Apple’s DMA rules, alternative app stores can choose to pay €0.50 for each first annual install above the 1 million threshold — a new scheme to tap into the revenue of larger apps, which Apple calls its core technology fee. (It’s uncertain whether Apple’s fee will stand, as the EU is investigating the tech giant for breaching competition laws.)
As Testut explains, once the AltStore is up and running properly, the plan is to allow other developers to also distribute their apps through the storefront by establishing their own sources.
“They will also be able to use the same integration with Patreon that we use to distribute ‘paid’ apps,” Testut told TechCrunch. This integration will create a new business model for applications that would not have been allowed without the DMA coming into effect.
“One thing @altstore is doing that should really get you thinking about alternative payment systems that Apple would never consider: it has Patreon integration and can tie app access to your Patreon pledge — giving you a completely different, personal relationship with your user and allows you to use the same reward system you use for videos, blog posts, merchandise, etc.,” wrote iOS developer Steve Troughton-Smith in a post on Mastodon. “Alternative app stores don’t just have to recreate the Apple model,” he added.
In addition, he noted that AltStore will provide users with a “granular view” of the permissions – or additional permissions – that an app has, before you install it.
In addition to offering developers a new way to make money, Testus claims that the EU version of AltStore will be “dramatically easier” to use compared to the current version.
Today, users who want to load apps through AltStore without jailbreaking their iPhone must use a Mac or PC, give AltStore their Apple ID and password, then refresh the apps every seven days. This process not only causes security problems, but is also complex. However, the EU version of AltStore will not require these steps.
“Everything works pretty much the same as the App Store now,” says Testut.
In the screenshots he shared, AltStore looks like a modern app store, with categories like Games, Lifestyle, and Utilities, as well as buttons to download free apps, just like Apple’s App Store. However, the user interface will be slightly different, as Apple requires developers to insert an additional confirmation screen after the user clicks to install the app. This screen warns consumers that updates and purchases will be handled by AltStore, as opposed to Apple.
Testut also notes that AltStore apps must be notarized by Apple in order to be installed, so they won’t be able to install any side-loaded apps that are available as .ipa files.
The new AltStore is now ready to launch, but Testut says it’s awaiting final approval from Apple.