Apple may change App Store rules to raise revenue, report says

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Apple may be preparing a new push to make the App Store more profitable. In the latest Power On newsletter, Bloomberg’s Mark Gurman reports that CEO John Ternus and services chief Eddy Cue are looking for ways to improve App Store margins and add more recurring revenue.

No policy has changed yet. Gurman’s report does not name a finished proposal, so developers and iPhone users have nothing new to change today.

The possible changes are still unclear

The report does not say whether Apple will change commission rates, developer fees, or App Review. Possible routes include a higher annual developer membership, recurring charges for large apps that generate heavy traffic, or more automated app review to reduce operating costs. Those are scenarios, not announced Apple plans.

Apple currently charges $99 per membership year for the Apple Developer Program. Raising that fee would affect developers who distribute apps, while a traffic-based charge would target larger services. More automated review could lower costs, but it would also raise questions about whether Apple can maintain the same level of safety and quality checks.

Why the App Store is back in focus

Apple’s Services business reached a record $30.7 billion in fiscal Q3 2026. During the earnings call, CFO Kevan Parekh said App Store business-model changes in some countries, the U.S. link-out ruling, and weaker mobile gaming affected the store’s performance. Apple’s results confirm the record quarter, while the earlier App Store update breaks down the comments about those headwinds.

The App Store is only one part of Services, and Apple does not report its revenue as a separate line. Still, it is a high-volume platform with recurring payments, which makes even small changes to fees or review costs meaningful to Apple’s margins.

Phil Schiller’s exit adds context

Gurman also links the App Store debate to Phil Schiller’s decision to step away from overseeing the store and Apple’s product launches. Schiller reportedly believed that trying to squeeze more profit from the platform could further irritate developers and governments. Apple still lists him as an Apple Fellow, and the revenue strategy is only one reported factor in his move.

That tension is familiar. Apple is under pressure to grow Services, while developers and regulators continue to challenge the fees and rules that make the App Store so profitable. Recent App Review changes around stale copycat apps show how the company is already adjusting the store’s rules in other areas.

Nothing changes for developers yet

The current $99 membership price and existing App Store terms remain in place. Until Apple publishes a new agreement or announces a specific change, developers do not need to update their pricing or distribution plans because of this report.

For now, this is a signal about the direction Ternus and Cue may want to take, not a new App Store rule. The next meaningful update will be a concrete proposal, especially if it affects developer fees, app review, or payments.

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