Right now, Apple is in a bit of a spot where they are battling Epic in a lawsuit over the App Store’s fees. However, that’s not the end of it as US lawmakers are also looking into laws that could force Apple to sell off their App Store. For the most part, Amazon has remained largely unscathed as far as this issue is concerned, so it’s not surprising that they might want to pre-empt it.
The company has announced that later this year, they will be reducing the fees they take from their Appstore. Right now, Amazon takes the industry 30% cut from developers, but later this year, developers who earn less than $1 million a year will have their fees reduced to 20% as part of Amazon’s Appstore Small Business Accelerator Program.
The reduction in fees is less than what Apple has done, which is reduce it to 15%, but Amazon will also be giving eligible developers AWS promotional credits equivalent to 10% of their revenue, so for some developers, that might actually be worth more. Amazon isn’t alone in reducing their fees.
Aside from Apple, Google had also previously announced that they too will start taking a cut in Play Store commissions from smaller developers. It is similar to Apple’s initiative which will see fees reduced from 30% to 15%.